Digital asset investment products continue to face weak demand, recording $288 million in outflows last week. This marks the fifth consecutive week of redemptions, pushing total withdrawals to $4 billion, still below the $6 billion seen last year. Trading activity in exchange traded products has also slowed sharply, falling to $17 billion, the lowest level since July 2025, reflecting reduced participation from both institutional and retail investors.
According to CoinShares’ latest Digital Asset Fund Flows Weekly Report, Bitcoin was the main contributor to negative sentiment, posting $215 million in outflows. At the same time, short Bitcoin funds attracted $5.5 million, the largest inflow among individual assets, signaling a rise in bearish positioning. Ethereum saw $36.5 million in withdrawals, while multi asset products and Tron recorded outflows of $32.5 million and $18.9 million respectively.
XRP, Solana, and Chainlink managed to attract modest inflows between $1.2 million and $3.5 million, but these were not enough to counterbalance broader altcoin weakness.
Regionally, the United States led the outflows with $347 million exiting funds. In contrast, investors in Switzerland, Canada, and Germany viewed recent price declines as buying opportunities, contributing inflows of $19.5 million, $16.8 million, and $16.2 million. Smaller inflows were also recorded in Brazil, Australia, and the Netherlands.
Bitcoin briefly fell below $65,000 during early Monday trading in Asia, triggering approximately $230 million in long liquidations. The decline followed President Donald Trump’s decision to increase a proposed global tariff to 15 percent after the Supreme Court struck down earlier tariffs. The move added to macroeconomic uncertainty and geopolitical tensions, including concerns about potential conflict between the United States and Iran.
QCP Capital noted that the key question is not whether Bitcoin has failed, but how long current market pressures will last. With Bitcoin on track for a fifth consecutive monthly loss, attention is shifting to potential catalysts such as progress on the Clarity Act and developments in US Iran relations. Analysts emphasize that reclaiming the $74,000 level would be essential for a sustained recovery.
