10 Coins Reversed Course as ETF Flows Turn Sharply Mid-Week

Digital asset investment products experienced a striking momentum shift last week, with major coins surging then reversing sharply as market sentiment deteriorated. The weekly performance tells a tale of two halves: a strong start followed by a dramatic Friday pullback that wiped out much of the week’s gains.

Bitcoin Leads Weekly Surge Before Friday Pullback

Bitcoin commanded the early-week momentum with $1.55 billion of inflows, according to CoinShares research. The digital assets category pulled in $2.17 billion total across the week—the strongest weekly haul since October 2025—as fresh capital rotated into both bitcoin and a broader basket of cryptocurrencies. However, the week’s trajectory shifted dramatically: Friday saw $378 million of outflows as geopolitical tensions and tariff concerns resurfaced, particularly around Greenland policy disputes. This reversal underscores how quickly sentiment can turn even when fundamentals show strength.

Altcoins Show Mixed Signals Amid Market Sentiment Shift

Beyond bitcoin, 10 of coins reversed their trajectory as broader market conditions deteriorated. Ether attracted $496 million while Solana drew $45.5 million, signaling appetite extended across the ecosystem despite policy uncertainty surrounding stablecoins and yield mechanisms. The altcoin segment posted notable gains led by XRP with $69.5 million in inflows. Smaller projects like Sui, Lido, and Hedera also logged positive flows, though Friday’s reversal likely impacted their momentum as well.

U.S. Dominates Regional Inflows as Uncertainty Clouds Outlook

Geographic distribution reveals concentrated capital concentration. The U.S. commanded $2.05 billion of the weekly total, while Germany, Switzerland, Canada, and the Netherlands recorded inflows of $63.9 million, $41.6 million, $12.3 million, and $6 million respectively. James Butterfill, head of research at CoinShares, pointed to policy uncertainty surrounding Kevin Hassett’s role as a potential factor in Friday’s reversal. Blockchain equities proved resilient, attracting $72.6 million, demonstrating investors still seek crypto exposure through public-market proxies even amid headline risks.

Pudgy Penguins Demonstrates NFT Evolution Beyond Speculation

The NFT sector shows a more mature ecosystem emerging. Pudgy Penguins exemplifies the shift from speculative “digital luxury goods” toward multi-vertical consumer platforms. The brand’s strategy—acquiring users through mainstream retail channels first (toys, partnerships, viral media) before onboarding them into Web3—has proven effective. The ecosystem encompasses phygital products (exceeding $13 million in retail sales and 1 million units shipped), games surpassing 500k downloads in just two weeks, and a widely distributed token reaching 6+ million wallet addresses. While premium pricing relative to traditional IP peers reflects market enthusiasm, sustained success depends on flawless execution across retail expansion, gaming adoption, and deepening token utility.

Why Bitcoin Failed to Rally With Falling Dollar

Despite conventional wisdom, bitcoin exhibited unusual price action relative to the weakening U.S. dollar. JPMorgan strategists identify the currency decline as driven by short-term flows and sentiment shifts rather than fundamental changes in growth or monetary policy. They expect the dollar to stabilize as economic data strengthens. This dynamic means markets treat the current dollar decline as cyclical rather than structural, causing bitcoin to behave like a liquidity-sensitive risk asset instead of a reliable dollar hedge. This positioning leaves gold and emerging markets as the preferred vehicles for dollar diversification strategies, a significant divergence from traditional macro correlations.