Crypto narratives have shifted. Tokenization and stablecoins, once considered more obscure blockchain use cases, have become some of the market’s most mainstream themes. At the same time, cryptocurrencies themselves have become less favored as investors pull back from more speculative parts of the market. However, demand for Bitcoin continues to persist, even in the middle of a tough market environment. Investors are choosing to remain more selective with altcoins and other crypto products. This note provides a look at crypto ETFs in terms of recent performance, flows, and new launches — particularly in the single asset category.
Although Bitcoin prices have shown some signs of recovery, they’re still down a sharp 20% year-to-date (as of April 6, 2026). Spot Bitcoin ETF flows weakened earlier in 2026, but recent data suggests demand has started to stabilize. The price drop seems more significant from an ETF perspective because many investors bought spot Bitcoin ETFs soon after the January 2024 launch surge. For those who waited until around March 2024 to buy, the recent drawdown has taken returns close to flat or even lower, depending on the exact entry point.
See more: Cryptocurrencies: Bitcoin Ends Q1 Down 22%
As Bitcoin prices fall, ETF assets naturally fall as well. But interestingly, while assets fell across the board due to prices, flows have not been evenly distributed. The largest Bitcoin ETF, the iShares Bitcoin Trust ETF (IBIT) has continued to gather net inflows on a year-to-date basis even as prices and category assets pulled back. On the other hand, the Fidelity Wise Origin Bitcoin Fund (FBTC), the second largest spot Bitcoin ETF, has lost almost an equivalent amount of outflows during the same time period. That is notable because the two funds are very similar on paper — even charging the same 25 bps fee.
The divergence is likely due to IBIT’s size. As crypto prices fall, large investors are shifting assets into the larger, more liquid fund. IBIT now has over 60% market share among the spot Bitcoin ETF group. This trend isn’t necessary new, however, as that dominance has been growing over the past two years. BlackRock’s use of IBIT in its model portfolios may also provide a more dependable base of assets.
Over time, that dynamic could become even more important. If fees and performance are nearly identical, assets may continue consolidating into the largest and most liquid ETFs. In that sense, the current environment may be reinforcing a longer-term dominance trend within the spot Bitcoin ETF market.
Ethereum ETFs have not behaved the same way as Bitcoin ETFs. The underlying asset, Ether, has been down 28% year-to-date, relative to 20% for Bitcoin. Ether is generally viewed as a higher-beta, more tech-like crypto asset, so flows have been less consistent in a risk-off environment. The Grayscale Ethereum Mini Trust (ETH) is the only product with significant year-to-date inflows, while the larger iShares ETF (ETHA) shows outflows. According to 13F filings on Bloomberg, about 85% of ETH owners are retail vs. 60% for ETHA. ETH charges 15
bps, versus 25 bps for ETHA. This helps to explain why fee-sensitive retail investors may be more willing to stick with Grayscale’s low-cost option even if ETHA has stronger institutional appeal and deeper trading liquidity.
Outside of Ether, other altcoins have also started drawing attention, largely because they were at the center of the post-SEC rule change wave of new crypto ETF launches. Excluding Bitcoin and Ether launches, I estimate that there will be around 26 single asset crypto launches in late 2025/2026. Although interest in the category has broadened, asset flows have been highly uneven and still concentrated in the largest altcoins. While XRP and Solana categories are each about $1 billion in assets, single asset ETFs like Dogecoin, Chainlink, and Sui have less than $100 million.
Many of these crypto ETFs are brand new and have less than six months of trading history. Moreover, they launched into a much tougher backdrop for both crypto and the broader market. A time when investors were already pulling back from higher-beta, tech-adjacent, and speculative exposures. As a result, inflows have been modestly net positive. But that also indicates that the investors who did buy are holding despite the difficult market.
If you include all crypto-related ETFs, there were approximately 44 launches in 4Q25 and 13 launches in 1Q26. Significant launches outside of the single asset category include: the Bitwise Proficio Currency Debasement ETF (BPRO), which invests in instruments that are likely to increase in value as a result of a decline of the U.S. dollar including precious metals and Bitcoin, and the NEOS Boosted Bitcoin High Income ETF (XBCI), which seeks to generate high monthly income based on exposure to Bitcoin ETPs.
Despite weak demand for altcoins, the filing pipeline is still very healthy. In fact, some of the most interesting potential products are now moving beyond the usual large-cap names. Hyperliquid stands out as one of the more notable potential spot ETF candidates, with Grayscale, Bitwise, and 21Shares filing SEC registration statements tied to the asset. Hyperliquid is a blockchain-based crypto trading platform where trades, funding, and liquidations happen directly on its network. The platform specifically focuses on fast perpetual futures trading. More interesting, is that it combines the feel of a centralized exchange with on-chain infrastructure. These features have helped the platform to build a strong identity beyond just being another token. That suggests issuers still believe investor appetite exists for new single-asset crypto exposures, even if actual assets remain concentrated in just a handful of names.
On the Bitcoin side, there continues to be new potential products despite it being over two years past the initial launch. Morgan Stanley launched its own Bitcoin ETF on April 8, 2026: the Morgan Stanley Bitcoin Trust (MSBT). Although it launched much later than its peers, the ETF has a competitive 14 bps fee and could benefit from Morgan Stanley’s client network. This reinforces the idea that crypto ETFs — even in the crowded arena of spot Bitcoin ETFs — are still evolving and that major financial firms still see value in providing access to Bitcoin.
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