JPMorgan Chase: The "de-risking" process in the crypto market may have come to an end, with ETF capital flows showing signs of stabilization
Svmuu News JPMorgan Chase reports that the previous "de-risking" process in the crypto market may be nearing its end, with capital flows in Bitcoin, and Ethereum ETFs showing signs of stabilization. JPMorgan Chase In a recent report, the analysis team led by Managing Director Nikolaos Panigirtzoglou noted that while BTC and ETH ETFs saw outflows in December 2025,global equity ETFs recorded a historic monthly net inflow of $235 billion during the same period, multiple indicators began to improve as of January 2026.The report states that fund flows for the Bitcoin and Ethereum ETFs have shown “signs of bottoming out,” while open interest metrics for perpetual contracts and CME Bitcoin futures indicate that selling pressure is easing. Analysts believe that the phase during which both retail and institutional investors simultaneously reduced their positions in the fourth quarter of 2025 has likely come to an end.Furthermore, JPMorgan Chase noted that MSCI’s decision during its February 2026 index review to temporarily not exclude Bitcoin and crypto-reserve companies from its global equity indices has provided the market with “at least temporary relief,” benefiting related companies including Strategy.The report also refutes the notion that the recent crypto market pullback was caused by deteriorating liquidity. JPMorgan Chase believes the true trigger was MSCI’s October 10 statement regarding MicroStrategy’s index status, which sparked a systemic de-risking move; current indications suggest this process is largely complete.
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