Bitcoin spot ETFs captured the quarter’s dynamics in sharp relief. April’s $2.02 billion in net inflows reversed decisively; outflows of $2.41 billion in May and $4.29 billion in June brought Q2 net redemptions to $4.67 billion, the largest quarterly outflow since spot products launched in January 2024, with June alone marking a record month for redemptions. Ethereum ETFs followed suit with $690 million in net outflows. The pattern points to institutional profit-taking and capital rotation into traditional markets rather than a structural exit from the asset class; a sustained return to positive net flows in Q3 remains the key signal to watch.
Q2 in review
The CoinDesk 20 (CD20) declined 17.9% to 1,602, while bitcoin fell 14.2% to $58,544. The quarter marked a clear break from Q1, when crypto largely tracked traditional risk assets. In Q2, the S&P 500 and Nasdaq 100 rallied 14.9% and 27.2% respectively, supported by a rotation into AI and technology equities, while gold fell 14.2% alongside digital assets. Against this backdrop, the inability of crypto to participate in the broader risk-asset recovery was the quarter’s defining feature.
Examining the CoinDesk 20 constituents individually, two assets recorded positive returns in Q2. NEAR led all constituents with a gain of 49.8%, driven by growing investor interest in its private AI infrastructure narrative. XLM followed at 12.6%. Seven assets outperformed the index, including ICP (-9.1%), BNB (-11.5%), SOL (-11.5%), $AAVE (-13.4%), and bitcoin (-14.2%).
Constituent highlights
