Bitcoin’s recent downturn has triggered one of the largest ETF outflows of 2025, with $1.2 billion exiting crypto funds over the past week, according to the latest 10x Research “Weekly Crypto Kickoff.” The sharp reversal follows a strong October, when Bitcoin ETFs had attracted $3.7 billion in inflows, marking a dramatic shift in sentiment as volatility surged and traders rushed to hedge positions.
The report notes that funding rates have reset and option premiums spiked, signaling that investors are paying more for downside protection. Meanwhile, realized volatility has climbed to near cycle highs, a pattern often seen around key inflection points.
Despite the fear-driven positioning, liquidity metrics show stablecoin inflows remain steady, suggesting sidelined capital is waiting for a clearer direction. Ethereum’s picture, however, is more complex, short-term options have turned bearish, even as longer-dated calls continue to attract buyers, pointing to divided sentiment among institutional traders.
Over the past 30 days, Bitcoin ETF flows still remain positive (+$4.2M), while Ethereum’s net inflows in October total around $800M. But with both assets facing tightening liquidity and elevated risk premiums, analysts at 10x say the market’s next major move could be “faster and sharper than most expect.”
The key takeaway: traders aren’t retreating, they’re repositioning for volatility as the crypto ETF market undergoes one of its most turbulent weeks since mid-summer.
