Crypto exchange-traded funds (ETFs) are witnessing substantial redemptions even as Bitcoin and altcoins experience a market rebound in 2025. Billions of dollars are being withdrawn from these regulated products, indicating a shift in investor strategy. Institutional investors are reportedly taking profits and rebalancing their portfolios, while retail traders are increasingly moving funds directly on-chain. Despite the outflows from ETFs, on-chain activity remains robust, with sectors like AI and DePIN showing resilience. Projects such as PepeNode ($PEPENODE) are attracting attention due to their speculative and gamified nature, highlighting a continued interest in innovative blockchain applications.