JPMorgan Chase (NYSE: JPM) is hopeful as cryptocurrency exchange-traded fund (ETF) outflows seem to be easing in January after the past drastic months.
While Bitcoin (BTC) and Ethereum (ETH) ETFs logged a spike in outflows in December 2025, global equity ETFs instead registered record inflows of $235 billion, the banking giant said.
But the investors seem to be hesitant in abandoning their holdings in crypto ETFs this month, the bank said in a Jan. 7 report.
JPMorgan said these signs suggest the recent crypto sell-off could be nearing a bottom.
“Signs of a bottoming out in January are also seen in other crypto indicators in perpetual futures and in our position proxies on CME futures,” analysts led by Nikolaos Panigirtzoglou wrote.
As per the analysts, whatever trimming in their holdings retail and institutional investors planned, they may have done so during the last quarter of the last year.
As per the onchain analytics platform SoSoValue, Bitcoin ETFs have logged a net inflow of $439 million this year.
Source: Spot Bitcoin ETF net inflow (USD), SoSoValue” loading=”eager” height=”383″ width=”960″ class=”yf-lglytj loader”>The figure for Ether ETFs stands at approximately $359 million.
Source: Spot Ether ETF net inflow (USD), SoSoValue” loading=”lazy” height=”394″ width=”960″ class=”yf-lglytj loader”>The recent decision by MSCI to not exclude digital asset treasury (DAT) companies from its indices for now could further consolidate the crypto inflow trend, the analysts said.
It is not only a temporary relief for those exposed to Michael Saylor’s Strategy (Nasdaq: MSTR), but also lowers the risk of forced selling due to delisting concerns, the analysts said.
In fact, it was the potential exclusion of DATs from indices and not declining liquidity that drove the recent correction in the crypto market, JPMorgan said.
However, the latest data in January so far suggests it’s a bottoming phase and it won’t lead to a further market sell-off, the bank concluded.
Related: MicroStrategy surges after MSCI stalls delisting
This story was originally published by TheStreet on Jan 8, 2026, where it first appeared in the MARKETS section. Add TheStreet as a Preferred Source by clicking here.