Bitcoin outflows hit $1.3B+ as Iran risk & CLARITY Act uncertainty weigh
Digital asset investment products logged heavy **Bitcoin outflows** again, with $1.47B leaving crypto ETPs/investment funds for the second straight week. **Bitcoin outflows** of about $1.315B marked the third-largest weekly withdrawal in 2026 and dragged full-year BTC net flows from $3.9B to $2.6B.
The sell pressure was concentrated in the **United States** ($1.425B outflows). Smaller withdrawals were reported from Canada ($12.5M) and Hong Kong ($12.2M), while Switzerland posted $16.2M outflows and Germany was near flat.
By asset, **Ethereum (ETH)** also faced large outflows of $222.8M (close to the prior week’s ~$249M), reinforcing that risk appetite is weakening beyond BTC.
CoinShares pointed to two catalysts: rising geopolitical **Iran** risk after a brief easing tied to a reported US-Iran peace announcement; and regulatory uncertainty around the **CLARITY Act**, with approval odds dropping to ~50% after comments by US Senator Cynthia Lummis.
Despite the broader outflow mood, some tokens saw selective inflows, including **XRP** (+$31.8M), **SOL** (+$7.7M), and others (NEAR, SUI). Overall, the flows suggest trimming of large-cap exposure rather than a total exit from crypto.
Bearish
The second consecutive week of large **Bitcoin outflows** ($1.3B+ in BTC withdrawals) signals ongoing de-risking and weaker institutional demand for BTC at the flow level. With **Ethereum (ETH)** also seeing sizable outflows, the risk-off tone appears broad rather than isolated. While selective inflows into a few altcoins suggest traders are rotating, the dominant direction for **BTC** is still net selling—typically a headwind for near-term price stability and momentum. If geopolitical Iran risk and the **CLARITY Act** uncertainty persist, the outflow pressure could continue; if sentiment improves and outflows stabilize, the downside pressure on BTC could ease, but the current flow trend remains negative.