Crypto ETFs Face Outflows After Labor Day

U.S. crypto exchange traded funds reopened after the Labor Day break with broad selling pressure across the board. Major funds tracking bitcoin, ether, solana, and HYPE all posted net outflows during the Tuesday trading session as traders kicked off the short week with a cautious mood.

Grayscale led the downside action with substantial bitcoin outflows totaling 47 million dollars. The wave of selling hit multiple digital asset products, showing that market participants preferred to reduce risk as trading volumes picked back up following the long weekend.

Despite the widespread red across the sector, XRP exchange traded funds managed to buck the trend. They finished the day as the only major category in positive territory, pulling in 1.55 million dollars in net inflows.

Traders are now watching to see if this broad selling pressure will continue through the rest of the week or if buyers will step in at these lower levels. Keep an eye on overall fund flows over the coming days for clues on market direction.