Bitcoin ETFs Lose $138M as Zcash Extends Inflow Streak

Friday Market Recap: Institutional Flows Take a Shift

Crypto markets closed out the week with a clear shift in institutional trading activity.

At the time of writing, BitcoinBTC+0.10% traded near $80,584 (+0.24%), while Ether hovered around $2,353 (+0.77%).

U.S. spot Bitcoin ETFs recorded net outflows of $137.94 million on Friday. This capped off a dramatic week of sharp reversals.

Past performance of digital assets or financial products is not indicative of future returns.

A Closer Look at the Bitcoin ETF Pullback

Friday's net redemptions were driven primarily by heavy selling in leading funds.

BlackRock's IBIT experienced the largest outflow, with $110.34 million leaving the fund.

Fidelity's FBTC also saw selling pressure, shedding $31.78 million on the day.

On the positive side, Morgan Stanley's MSBT posted the sole inflow, adding $4.19 million.

Daily trading volume for Bitcoin ETFs slowed to $1.33 billion, while net assets ended at $104.43 billion.

This drop in turnover follows Thursday's massive $635.49 million withdrawal. The lower volume suggests that the heaviest wave of short-term selling may be slowing down.

Midweek Surge Flips to Rapid Profit-Taking

To get the full story, we have to look at how fast sentiment shifted this week.

Between Monday and Wednesday, Bitcoin ETFs pulled in over $1 billion in net deposits.

However, that momentum evaporated quickly. Heavy redemptions on Thursday and Friday erased a large chunk of those gains.

Major asset managers like BlackRock and Fidelity led both sides of the movement. This highlights how tactical institutional positioning has become.

While institutional participation remains high, overall conviction is still sensitive to short-term market changes. Crypto assets stay subject to rapid price shifts.

Ether ETFs Enjoy a Rare Day of Positive Flow

While Bitcoin products saw money exit, Ether ETFs managed to post a modest win.

Ether funds attracted $4.35 million in net inflows, with zero funds reporting outflows.

Fidelity's FETH led the push, capturing $3.58 million in fresh capital.

Morgan Stanley's MSSE added $773,440 to complete the positive picture.

Total daily trading volume reached $392.93 million, bringing Ether ETF net assets to $14.64 billion.

While small compared to recent redemptions, this green day offers a brief signal of stabilization for EthereumETH+0.70%.

Zcash and NEAR Attract Selective Institutional Buying

Altcoin funds showed mixed results, with a few targeted assets attracting steady interest.

Grayscale's ZCSH brought in $20.52 million, marking a three-day inflow streak for Zcash.

This steady buying helped push total net assets for the Zcash fund to $706.72 million.

NEAR ProtocolNEAR+2.76% also stayed positive, with Bitwise's NRR capturing $992,690 in new inflows.

Meanwhile, ETFs tracking XRPXRP+1.10%, SolanaSOL+0.50%, and HYPE logged zero net flows for the day.

This contrast shows that big investors are being very selective with their altcoin exposure.

Franklin Templeton Files for Equity-Bitcoin Hybrid ETFs

Asset managers continue finding creative ways to bring crypto into mainstream portfolios.

Franklin Templeton registered two new Nasdaq-listed ETFs featuring a dual model.

The funds plan a 95% U.S. equity and 5% Bitcoin balance.

Dividends earned from the equity portion will automatically buy additional Bitcoin exposure, supported by quarterly rebalancing.

This structure demonstrates how traditional finance is weaving Bitcoin directly into standard investment models.

JPMorgan Brings Tokenized Money Funds to Solana

Real-world asset tokenization is making another big step forward on public networks.

J.P. Morgan Asset Management expanded its tokenized money market funds, MONY and JLTXX, to Solana.

This expansion lets qualified U.S. investors interact with tokenized institutional cash funds on-chain.

It marks another major step in connecting Wall Street liquidity with modern blockchain rails.