Geopolitical risks in Iran triggered the largest crypto fund withdrawal in 2026, led by Bitcoin and Ethereum outflows.
Crypto investment products recorded $1.07 billion in outflows last week, halting a six-week inflow streak and marking the third-largest weekly withdrawal of 2026. Analysts linked the reversal to heightened geopolitical tensions involving Iran, which spooked risk assets and drove investors away from major cryptocurrencies.
Total assets under management fell to $157 billion from $159 billion the prior week. U.S.-listed products bore the brunt of the sell-off, accounting for $1.14 billion in outflows, while European markets saw modest inflows, including $22.8 million in Switzerland and $22.0 million in Germany.
Bitcoin led losses with $982 million in outflows, reducing its year-to-date inflow to $3.9 billion. Ethereum followed with $249 million in withdrawals, its worst week since late January. Altcoins like XRP and Solana bucked the trend, posting inflows as investors rotated away from larger assets.