Crypto investment products experienced outflows for the fourth consecutive week, totaling $173 million and bringing cumulative losses over the month to $3.74 billion. Early optimism drove $575 million in inflows, but continued price weakness quickly led to $853 million in withdrawals. Sentiment improved slightly on Friday following softer CPI data, with $105 million returning to funds. Trading activity slowed, and ETP volumes dropped to $27 billion, less than half of the prior week’s $63 billion.
Altcoins attracted strong interest despite overall outflows. Bitcoin-related products lost $133 million, and short Bitcoin funds declined by $15.4 million over two weeks, a trend often seen near cyclical lows. Ethereum funds saw $85.1 million withdrawn, and multi-asset strategies lost $14 million. In contrast, XRP, Solana, and Chainlink funds gained $33.4 million, $31 million, and $1.1 million, respectively, with Litecoin adding $0.4 million.
Regional flows highlighted a split between US and international investors. The US recorded $403 million in outflows, while other regions added $230 million. Germany led with $115 million, followed by Canada with $46.3 million, Switzerland $36.8 million, Brazil $14 million, Australia nearly $10 million, and Sweden $2.8 million.
Bitcoin has dropped nearly 50% since its October high, with some analysts predicting a fall to $50,000 before recovery. Fintech expert Hedy Wang described the turbulence as part of a normal market evolution rather than a collapse, noting the Web3 ecosystem is supported by a resilient, long-term focused community.
