Despite the strong performance last year, the market’s volatility has shifted the outlook for Bitcoin exchange-traded funds (ETFs) in 2025. A series of major sell-offs have wiped out nearly all the inflows the ETFs received earlier in 2025.
This downturn coincides with Bitcoin’s continued price decline, leaving the ETFs struggling to maintain their momentum as investor sentiment shifts.
Bitcoin ETFs Face Major Setback in 2025
According to a recent post by Bread & Butter on X (formerly Twitter), Bitcoin ETFs had a promising start to the year. Between January 1 and February 7, they saw cumulative inflows of $5.7 billion.
However, a substantial sell-off quickly followed, erasing $5.3 billion of those gains. As a result, net inflows for the year plunged to a low of $106 million.
Bitcoin ETF Inflows vs. Outflows in 2025. Source: X/Bread&Butter
In fact, the largest weekly net outflow was recorded in the final week of February, at $2.7 billion. That’s not all. Since the ETFs began trading, they have experienced outflows in three separate months. February stands out as the most significant, with a staggering $3.5 billion recorded as the largest monthly outflow to date.
Nonetheless, the post revealed a positive shift, noting that inflows into Bitcoin ETFs have resumed. Since March 14, the ETFs have recorded consecutive days of inflows, pushing the year-to-date net inflows to over $600 million.
As of the latest data, the daily total net inflow reached $165.7 million on March 20. Yet, this growth was uneven across the 11 ETFs.
Only four recorded inflows, with iShares Bitcoin Trust ETF (IBIT), leading at $172.1 million, followed by Fidelity Wise Origin Bitcoin Fund (FBTC) with $9.2 million, Grayscale Bitcoin Mini Trust ETF (BTC) with $5.2 million, and VanEck Bitcoin ETF(HODL) with $11.9 million.
Meanwhile, four ETFs saw zero flows, and three—Grayscale Bitcoin Trust(GBTC), Bitwise Bitcoin ETF (BITB), and Franklin Templeton Digital Holdings Trust (EZBC)—experienced outflows, reflecting a mixed market performance.
“It remains to be seen whether this marks the beginning of a sustained rebound or just a temporary relief,” the post read.
This comes as Bitcoin’s price continues to navigate turbulent waters. The cryptocurrency has faced significant setbacks due to shifting macroeconomic conditions, leading to a notable decline.
According to BeInCrypto data, BTC has depreciated by 12.1% over the past month and 2.0% in the last 24 hours alone. At press time, it was trading at $84,147.
However, analysts suggest that the worst may be over. Arthur Hayes, former CEO of BitMEX, pointed to a potential bullish shift, citing his custom US bank credit supply index, which was moving upwards.
“Doesn’t mean we are done dumping but the odds are shifting more bullish,” he said.
Market observers have also compared Bitcoin to gold. They predict that BTC may follow a similar trajectory and emerge from its current “fakeout” phase. Others believe Bitcoin is in a bear trap that could soon end.
XRP has been on a consistent downtrend in recent days, with its price falling sharply and approaching the $2 mark. This has resulted in extended losses for the cryptocurrency, with a notable rise in selling pressure.
Despite the bearish momentum, key investors are trying to offset the negative impact.
XRP Whales Are Uncertain
Whale activity has been a major factor contributing to the recent decline in XRP’s price. Addresses holding between 100 million and 1 billion XRP have sold over 1.12 billion XRP, worth $2.34 billion, in the past seven days. This has brought their total holdings down to 8.98 billion XRP.
The selling activity from these whale addresses reflects a cautious outlook for XRP. While whale selling often indicates uncertainty in the market, it’s important to note that their behavior can also have significant short-term price movements. The recent heavy selling could signal that market participants are unsure about the short-term price action, and further bearish trends could follow if this continues.
On the broader market level, XRP’s macro momentum shows signs of divergence from the whale selling. The Liveliness metric, which tracks the behavior of long-term holders (LTHs), is currently declining.
A falling Liveliness typically signals that LTHs are accumulating more of the asset at lower prices rather than selling. This drop to a three-month low suggests that long-term holders are sticking to their conviction and accumulating XRP, even as whale selling intensifies.
The steady accumulation of LTHs might help cushion the bearish effects created by the whales. This behavior can counteract the selling pressure, potentially offering stability to XRP’s price and supporting a recovery if market conditions improve.
XRP’s price has fallen by 14.5% this week, bringing it to $2.09, which is dangerously close to losing the critical $2.02 support level. The ongoing bearish momentum has created mixed signals in the market, which are likely to keep the price stuck in a narrow range for the time being.
If XRP can bounce back from the $2.02 support, it could recover some of the recent losses. However, the altcoin may remain consolidated below the $2.27 resistance level unless more positive news or market conditions arise to push it higher.
If XRP breaks through the $2.27 barrier or falls below $2.02, it could invalidate the current consolidation outlook. A successful breach of $2.27 could pave the way for a price recovery, with $2.56 being the next significant target.
According to data from Precedence Research, the Web3 market valuation is expected to reach over $99 billion in 2034. However, despite improvements in decentralized finance and smart contracts, Web3 development can still feel like building software in the dark. Developers often find themselves with fragmented tools, running local testnets, praying public ones don’t crash. Most of the time, they usually endure workflows that feel primitive compared to modern Web 2 stacks.
Tools like GitHub, Docker, and Vercel have made Web2 development slick, collaborative, and scalable. But in Web3? Developers still rely on disjointed toolchains. This is an inconvenience and also a barrier to adoption. Every smart contract needs to be tested. Every dApp needs reliable infrastructure. However, the lack of unified tooling introduces risk, slows time-to-market, and increases expenses.
Enter BuildBear Labs. According to Emmanuel Antony, CTO and Co-Founder of BuildBear Labs, “BuildBear Labs provides a unified, integrated ecosystem that simplifies fragmented Web3 development, streamlining collaboration across smart contracts, frontend, backend, SDKs, and off-chain services to accelerate development cycles.”
The Issues Web2 Devs Face When Entering Web3
The Web3 dream is attracting developers from around the world, especially those with experience in Web2 development. They bring strong backend, frontend, and systems expertise, but often face a broken onboarding experience when they enter Web3.
Within the Web3 sector, there is no standard CI/CD pipeline, and testnets are unreliable, constantly breaking or being deprecated.
There is also a lack of collaboration tools for teams to debug, deploy, and iterate together. Sometimes, security testing is outsourced, inconsistent, or comes too late.
This mismatch between Web2 expectations and Web3 tooling realities is frustrating and expensive. Many projects burn hundreds of thousands just trying to ship a secure minimum viable product (MVP).
Some projects take over 8 months and cost upwards of $525,000, with $450,000 spent on testing. Around 40% of dev time is lost to fragmented workflows and unreliable environments that fail to mimic the mainnet.
BuildBear Labs: Bringing GitHub-Level DevOps to Web3
BuildBear.io is building the first full-stack DevOps platform built for the decentralized world. This solution is more than just a testing environment, but a 360 Web3 ecosystem that allows developers to take their project from 0 to 100, ideation through to launch. It helps developers create, test, and deploy smart contract-based applications with the same ease and power they enjoy in Web2.
Furthermore, BuildBear Labs provides persistent, real-world blockchain sandboxes, which are private environments that mimic mainnet conditions. These sandboxes give developers deterministic control, fast feedback loops, and a place to test with teammates in real time.
But a better testnet is not the only solution BuildBear Labs provides. Most blockchain development tools today only handle individual parts of the development process. For example, some are a local runtime like Hardhat, or a contract debugger like Tenderly. However, BuildBear Labs provides a 360° ecosystem, combining:
Replacing Fragile Toolchains with Integrated Infrastructure
To understand the value of BuildBear Labs, it is worth examining what a typical Web3 team deals with today. First, they usually set up a local Hardhat or Foundry node.
Then, they configure scripts for deployment and manually fund dev accounts via flaky public faucets. The process also involves testing features across multiple chains and constantly redeploying and resetting testnets. Finally, it needs multiple tools for debugging and tracing.
Now compare that to the BuildBear Labs flow. Developers can spin up a private sandbox environment and automatically provision faucet tokens and RPCs.
They can invite teammates to interact and debug in real time. With BuildBear Labs, you can integrate with your existing GitHub CI/CD pipeline and extend its functionality via plugins. Additionally, you can test and ship with confidence on any of 700+ supported chains.
Every part of BuildBear Labs’ architecture is aimed at solving a major dev pain point:
Dev Need
Old Way
BuildBear Approach
Testing dApps across chains
Juggling multiple testnets
One dashboard for 700+ chains
Persistent state
Manual resets every session
Save and resume where you left off
CI/CD integration
None
Native GitHub/Jenkins support
Token faucets
Unreliable or rate-limited
Instant faucet access per sandbox
Debugging tools
Fragmented tooling
Built-in explorer, trace, fuzz, scan
Collaboration
Siloed, local-only
Invite teams to the shared sandbox
For investors and builders alike, the economics of BuildBear Labs are compelling.
Their ecosystem features an average cost reduction of up to $300K per project. This is due to testnet replacement, fewer audit bugs, and shorter development cycles.
Developers can also launch 3 to 4 months faster, thanks to better collaboration and automation. Also, they can mitigate security risks early, before mainnet deployment, and reduce downtime, which can cost $ 5,000+ per day in DeFi revenue.
BuildBear Labs operates in two sectors, which are blockchain development infrastructure and enterprise-grade DevOps tooling.
The total dev tools market is expected to reach $19.7 billion by 2032, and Web3-native tooling is projected to account for over $3 billion of that. With over 658,000 developers projected to be building in Web3 by 2032, the demand for tools like BuildBear is only accelerating.
Inside BuildBear Labs’ Developer Stack
BuildBear Labs is a deeply engineered, cloud-native DevOps platform purpose-built for the Web3 era. From Phoenix Engine’s fault-tolerant testing to GitHub-native CI/CD pipelines, BuildBear offers every tool a developer needs to ship production-ready dApps safely and fast.
The EVM Sandbox
One of BuildBear Labs’ primary products is its Secure EVM Sandbox, powered by the Phoenix Engine. This is a customizable, forkable, and shareable blockchain environment that mirrors mainnet conditions without exposing your team to real-world costs or risk.
This isn’t a thin wrapper over Hardhat or Foundry. It is a fully integrated, scalable, persistent environment that supports team collaboration and debugging with advanced explorers.
There’s also token provisioning via an unlimited faucet. Furthermore, there is a Multi-Chain simulation and support for hybrid services, such as Chainlink VRF, Across Bridge, and account abstraction.
You can fork the state of any EVM-compatible chain, including Ethereum, Polygon, Arbitrum, Optimism, Linea, Avalanche, Base, BSC, zkEVM, and more, at any block height. This gives developers a mirror of the mainnet, complete with contract state, balances, and historical data.
Unlike public testnets or local setups, BuildBear Labs gives teams full control over the chain environment. It provides them with custom configs, where they can define their own chain parameters. Developers can set the block time, gas limit, and consensus rules for specialized dev and QA workflows.
BuildBear lets you simulate future time for time-sensitive contracts. You can impersonate any on-chain user or contract. Sandboxes persist across sessions and CI jobs, so there is no need to reinitialize.
In decentralized teams, coordination is key. BuildBear Labs collaborative features bring everyone, from Solidity devs to frontend engineers, into the same room.
BuildBear Labs lets teams share sandboxes via a simple link, making collaboration with teammates or auditors easy. You can deploy a contract from one repository and test it from another, thanks to X-Team support. Hybrid workflows are fully supported, allowing contracts, SDKs, and UIs to interact in a single testing flow. Every new GitHub pull request can automatically trigger a fresh sandbox environment.
This kind of horizontal integration doesn’t exist in typical dev stacks. With BuildBear Labs, everyone contributes to the testbed, from frontend QA and protocol engineers to auditors and product managers.
Phoenix Engine
There’s also the Phoenix Engine, BuildBear Labs’ in-house chain simulation layer, which completely changes how devnets should operate. It enables complex simulations, such as cross-chain bridge logic, replay attacks, and performance profiling.
Feature
Phoenix Engine
State Recovery
Crash-proof environments that can restart in an identical state
RPC Flexibility
Switch service providers on the fly
Atomic Transactions
Guarantees consistency across reads/writes
Multi-user performance
Read-heavy ops don’t block others
Memory Optimization
Leaner than Anvil or Hardhat, ideal for CI pipelines
Multi-chain Forks
Run multiple independent forks in the same environment
CI/CD for Solidity
BuildBear makes continuous integration for smart contracts as easy as a GitHub YAML file.
Teams can automatically create new sandboxes for every pull request. They can run tests on forked chains using Foundry or Hardhat. Failed tests can be debugged directly from GitHub logs. Stateful sandboxes can be reused across test suites. Gas usage can be profiled inline.
BuildBear Labs supports over 45 Foundry cheat codes, allowing for advanced automation in contract testing, fuzzing, and deployment. And the experience is user-friendly. You click a GitHub link and land directly in a BuildBear explorer session, ready to inspect, trace, and fix bugs.
Plugin Architecture
Most dev tools are closed ecosystems. Not BuildBear Labs.
BuildBear Labs’ plugin system lets developers integrate services like Pimlico, Across Bridge, Blockscout, Chainlink VRF, and Gelato, as well as connect to external data or simulators. They can also run custom scripts to change state or impersonate users, and even trigger AI agents directly from Solidity using cheat codes.
This plugin-first mindset allows developers to create production-grade simulations directly from within their tests. Even if you want to test a Gnosis Safe recovery flow with VRF randomness on a bridged token, you can do that at BuildBear.
BuildBear Labs Explorer
Testing is only half the things developers do. Debugging, tracing, and understanding smart contract behavior is where teams win or lose real-world reliability.
BuildBear Labs Explorer gives developers a powerful toolkit for transaction analysis. It lets you monitor transactions in real-time across multiple explorers, such as BlockScout, Etherscan, and BuildBear Labs itself. You can track gas usage, including reverts and internal calls, to catch inefficiencies early.
For deeper debugging, it supports Sentio Tracer, Simbolik Debugger, and Foundry’s trace tools. It also integrates with external explorers, allowing you to view any transaction on platforms like Etherscan or BaseScan instantly.
Every environment logs interactions automatically, so QA teams and auditors can walk through historical sessions, test coverage, and contract behavior in production-like environments.
Faucet Access
BuildBear Labs provides unlimited faucet access to both native and ERC-20 tokens across all environments. No signups, no rate limits, no “out of funds” errors.
Just click, mint, and move on with testing. For teams simulating cross-chain dApps, DeFi flows, or staking mechanisms, this removes a major source of friction.
What Are the Benefits of BuildBear Labs Solutions?
Below, we will be discussing some of the benefits developers and teams can gain from using BuildBear Labs products and solutions.
Test Like It’s Mainnet Without the Risk
In real-world conditions, dApps interact with multiple services, tokens, and accounts in unpredictable ways. BuildBear Labs lets developers run multiple forks side by side and test production scenarios with plugins.
They can also simulate hybrid workflows and use custom cheat codes to shape execution paths and stress-test logic.
A Better Developer UX
Underneath all the power is a UX that feels smooth, familiar, and fast. You spend less time wiring up your tools and more time building actual features.
BuildBear Labs removes all the setup complexities. There’s no need to provision infrastructure, configure faucets, or manually spin up explorers. Forks come ready to go, with default balances and account impersonation so you can start testing instantly. Environments are persistent, linked, and fully replayable, while GitHub-native integrations ensure smooth, automated workflows without added friction.
A Strong Competitive Advantage
BuildBear Labs has a strong competitive advantage that is built on four layers, including a Phoenix Engine, a Plugin, CI/CD integrations, and a community.
BuildBear Labs’ infrastructure is anchored by the Phoenix Engine, a fault-tolerant testnet engine that supports state recovery and multi-fork simulation. It outperforms Anvil and Hardhat in memory efficiency, transaction atomicity, and concurrent performance. This makes it better for production-grade testing.
Its Plugin and Cheatcode Ecosystem gives developers unmatched flexibility. Teams can integrate off-chain services, simulators, or even AI agents directly into Solidity tests. This allows them to have complex scenario testing without leaving their development environment.
BuildBear Labs also fits into existing DevOps workflows. With native GitHub Actions support, smart contract teams can plug testing and deployment directly into their CI/CD pipelines.
There’s also a massive community behind BuildBear Labs. Developers continuously fork sandboxes, share test links, publish plugins, and improve documentation. This flywheel effect means the platform becomes more powerful with each new user. In other words, it will help increase adoption across the Web3 ecosystem.
Market Overview and Momentum For BuildBear Labs
EigenLayer’s ecosystem shows why BuildBear matters. The DIN team used BuildBear Labs’ sandboxes to test each protocol update in a stable, shared environment. During the Holesky Pectra upgrade delays, its resilience kept progress on track. As one developer put it, “BuildBear being up during the Holesky holdup allowed us to continue unimpeded.”
Since launching, BuildBear Labs has attracted users ranging from independent Solidity engineers to venture-backed L2s and infra startups. Its mix of scalability, flexibility, and collaboration tooling makes it uniquely suited for protocols shipping to the mainnet at high velocity.
BuildBear Labs has a diverse user base, including audit firms and protocol teams.
Protocol teams rely on the platform to simulate network upgrades, test gas optimizations, and run intensive fuzzing campaigns before shipping code to the mainnet. DeFi platforms use BuildBear Labs to build cross-chain integrations and test against real contract states by forking live networks.
Security firms and auditors benefit from BuildBear Labs’ precision testing environments to replicate bugs, trace vulnerabilities, and validate fixes. Early-stage dApp teams are also heavy users, using features like account abstraction support, Safe module testing, and plugin-based simulations from the start.
Even traditional enterprises entering Web3 are adopting BuildBear Labs. With GitHub-native CI/CD and DevOps compatibility, these teams can deploy and test smart contracts using familiar pipelines.
BuildBear is solving foundational issues that have slowed Web3 for years:
Pain Point
Legacy Approach
BuildBear Labs’ Solution
Testnet reliability
Public chains with/ downtime, spam, and faucet limits
Persistent, forkable private chains
CI/CD for Solidity
Manual scripting, flaky local setups
GitHub-native, scalable automation
Multi-chain testing
Snapshots or individual test scripts
Forks of any EVM chain at any block height
Debugging
Manual explorer hopping
Integrated explorer + advanced trace tools
Off-chain integrations
Manual mocking or skipped tests
Plugin system for hybrid scenarios
QA coordination
Screenshots and dev handoffs
Shareable sandboxes + team-ready UX
Strategic Advantage
The current EVM ecosystem is both vast and fragmented. Dozens of L2s, rollups, zkEVM chains, and appchains launch every quarter. Each introduces new environments, contract semantics, and cross-chain behaviors.
BuildBear Labs sits above this fragmentation, providing a unifying test and simulation layer across L1s like Ethereum and Gnosis. L2s like Arbitrum, Optimism, Base, and zkEVM. Testnets like Sepolia, Holesky, bespoke forks, and new chains like Berachain, Linea, and Kava.
By doing so, it becomes a layer for standardizing development and automating tests across the modular blockchain stack. In the same way that GitHub standardized repo management or Postman streamlined API testing, BuildBear Labs can become the entry point for decentralized software development.
Final Thoughts
BuildBear Labs is changing how Web3 teams build, test, and deploy smart contracts. By providing a secure, stateful, and deeply customizable sandbox environment, it removes unreliable testnets and disconnected tooling. Whether you are a protocol developer fine-tuning gas usage, a dApp team, or an auditor validating a critical fix, BuildBear Labs provides the precision and flexibility modern blockchain development demands.
With CI/CD integrations, plugin support, advanced debugging tools, and the powerful Phoenix Engine, teams can ship faster and with greater confidence. BuildBear Labs stands out as the Web3 developer infrastructure layer that makes production-ready testing better. From American developers and startups to enterprises, it is the toolkit behind the next generation of secure and scalable decentralized applications.
