Crypto ETF Market Recap: July 14, 2025 — Recovery Begins as BlackRock Shrinks and Citi Turns Bearish

BlackRock's Q2 2026 Earnings: Growth Everywhere Except Digital Assets

BlackRock reported its Q2 2026 earnings on July 15, 2025, covering the period ended June 30, 2025. The headline numbers were strong for the firm as a whole, but the digital asset segment was a glaring exception.

• Digital asset AUM fell 39% year-over-year to $48.8 billion, down from $79.6 billion a year earlier .
• $15.1 billion in net inflows continued to pour into BlackRock's crypto products over the trailing 12 months .
• $45.8 billion in market depreciation (price declines) overwhelmed those inflows, accounting for the bulk of the AUM decline .
• $3.1 billion in client outflows and $8.7 billion in market losses in Q2 2026 alone contributed to a nearly 20% quarter-over-quarter drop .
• Overall BlackRock AUM reached a record $15.34 trillion, and the firm beat revenue and EPS estimates — iShares alone drove $177.9 billion in ETF inflows .

The digital-asset shrinkage was an isolated pocket of weakness within an otherwise strong quarter. CEO Larry Fink remained publicly bullish on crypto, but the numbers told a more sobering story for the firm's crypto products .

Citi's Bearish Turn: Bitcoin Target Cut, Zero ETF Inflow Forecast

On July 1, 2025, Citigroup issued a starkly bearish crypto research note that set the tone for the month.

• 12-month Bitcoin price target cut to $82,000, down from $112,000 previously .
• 12-month Ether price target cut to $2,240, down from $3,175 .
• Expected net spot crypto ETF inflows over the next 12 months lowered to $0, a sharp reduction from a prior estimate of $10 billion .
• Reasons cited: Weakening investor appetite, negative ETF flows, and a lack of progress on U.S. digital asset legislation .

This was Citi's second downward revision in 2026, following an earlier cut from $143,000 . The move reflected a structural reassessment of demand, not a simple macro adjustment.

The Eight-Week Outflow Streak and Its End

The positive flows on July 14 capped a broader reversal pattern that had been building for weeks.

• Eight consecutive weeks of net outflows from U.S. spot Bitcoin ETFs through early July 2025, with total outflows surpassing $8.2 billion .
• The streak broke the week ending July 10, when combined Bitcoin and Ethereum ETFs flipped positive for the first time since early May: Bitcoin ETFs drew $197.40 million and Ethereum ETFs added $84.42 million, for a total of $281.8 million .
• The recovery was partly attributed to a crypto price rebound after the Federal Reserve's June FOMC meeting (which held rates at 3.50%–3.75%), with ETF demand returning as the market repriced .
• By the week of July 14, flows had strengthened further, confirming that the recovery was gaining momentum, albeit from a low base .

Key Metrics Summary

The Bottom Line

July 14, 2025, was a day of contrasts in the crypto ETF market. The $239 million in combined inflows signaled that institutional demand was returning after a brutal two-month withdrawal. Yet the same day's context included a major bank projecting zero ETF inflows for the next year, and the world's largest asset manager reporting that nearly $46 billion in market losses had wiped out its digital asset gains. The recovery was real — but fragile, and very much at odds with the prevailing Wall Street forecast.