U.S. Crypto Funds Shed $403M Amid Price Weakness: CoinShares
Crypto investment funds saw $173 million in outflows last week, marking a fourth consecutive week of withdrawals and totaling $3.74 billion exited over the period. U.S. investors led the exit, pulling $403 million, while Europe and Canada recorded $230 million in inflows, highlighting a regional divergence in sentiment—U.S. investors turned cautious as international buyers saw opportunity. Bitcoin products accounted for most of the U.S. outflows ($133.3 million), but short Bitcoin products also saw outflows, a pattern often observed near market lows. Ethereum funds lost $85.1 million, while some altcoins like XRP ($33.4 million inflow), Solana ($31 million), and Chainlink ($1.1 million) attracted capital. The market currently displays low volatility, with Bitcoin down 2% at $69,000 and major altcoins flat or slightly lower. Recent gains in some altcoins are attributed to renewed retail risk appetite after softer U.S. inflation data, reflecting capital rotation out of Bitcoin. Sustained gains in altcoins may require fresh fundamental or macroeconomic catalysts to avoid speculative excess.
