The US investors are shedding light on crypto funds as world markets are drawing in new funds. The correlation between the price of bitcoin and that of gold is once more attracting the interest of portfolio managers who are in need of stability.Bitcoin and Ethereum US spot exchange-traded funds are recording sustained outflows. There have only been two weeks of favourable inflows in the year 2026. The assets of total Bitcoin ETFs fell by about 115 to about 83 billion.Ether funds dropped from approximately 11 billion to approximately 18 billion. The move underscores the decline in domestic demand for digital assets and the increase in riskiness.The rate of capital rotation is gaining pace towards international equities as the valuation appears cheaper in foreign countries. January made some of the best inflows to global ex-US funds in years.Institutions are seen to be lightning congested US growth trades such as crypto allocations. Financial conditions are also tightening because of the increasing yield on Treasury bonds.The yields provided by bonds are now more attractive than the yields provided by speculative assets. Such a dynamic will push up high-beta holdings like Bitcoin and Ethereum.The international equity products are enjoying the macro conditions that are not in the United States. Brightening growth prospects and policy maintaining encourage diversification.Data provided by ETF trend shows that the net inflows have been consistent over the last year. Such flows are the opposite of the crypto fund withdrawals. The digital assets experience weak purchasing pressure as liquidity moves to foreign countries.This turns back the tide of rallies that propelled up to 2024. In the absence of consistent ETF demand, the price will become more responsive to risk sentiment and macro shocks.The argument as to whether bitcoin digital gold or not has been revived with the uncertainty growing. During a state of stress and increasing yields, gold has customarily drawn flows.Bitcoin occasionally imitates such behaviour, yet it is more volatile. The sentiment in the market of bitcoin is no longer conviction but reluctance.Other traders still consider Bitcoin as a form of protection against currency debasement. It is a speculative technology asset to others. Such a discrepancy is the reason why there is a variability in the correlation between Bitcoin and gold prices.Crypto ETFs had benefited from upward price moves in the past due to continuous inflows. The demand generated excellent liquidity support in upsurges.The mechanism has now turned into a distribution. Money is selling and not position building. This is a process that exerts consistent pressure on markets, depth and order books.Short-term rebounds thus find it difficult to sustain gains. Analysts indicate that the outflows in ETFs might persist until the macro conditions improve.