CoinInsight360.com logo CoinInsight360.com logo
A company that is changing the way the world mines bitcoin

WallStreet Forex Robot 3.0
Coinpaprika 2025-02-04 08:40:35

Crypto Inflows Drop as DeepSeek AI Shakes Markets

Crypto inflows dropped sharply last week, falling to $527 million amid market volatility , a steep decline from previous weeks when inflows reached nearly $2 billion. The downturn was largely driven by DeepSeek AI hype, which drained liquidity from digital assets and stock markets. The latest CoinShares report shows that investor sentiment was heavily impacted by DeepSeek’s emergence. While digital asset inflows remained positive, they were far below the levels seen in previous weeks. Just before this drop, crypto inflows had surged to $1.9 billion and $2.2 billion. However, DeepSeek’s rise led to $530 million in outflows on Monday , disrupting the market. The sudden liquidity shift wasn’t limited to crypto. DeepSeek's influence extended to AI-related stocks like Nvidia and even mining companies. Market confidence wavered, leading to increased uncertainty. Despite the turbulence, Bitcoin remained resilient, drawing in $486 million in inflows, showing continued investor interest in the leading cryptocurrency. DeepSeek’s impact wasn’t entirely negative, as the market showed signs of recovery later in the week. Over $1 billion in fresh inflows entered the market, but this wasn’t enough to sustain previous levels of nearly $2 billion per week. Still, the ability to maintain positive flows indicates that investor confidence in crypto remains relatively strong. The fallout from DeepSeek was widely discussed across financial and crypto circles. A popular user on X, Emily, summed up the situation: “DeepSeek vibes are definitely shaking things up.” This reflected the widespread uncertainty across the industry, though AI-related crypto assets showed signs of bouncing back as DeepSeek's momentum slowed. Lennix Lai, OKX’s Global Chief Commercial Officer, weighed in on the situation, stating that while DeepSeek’s initial impact caused a short-term market shock, the bigger concern is the escalating trade tensions . These concerns were temporarily eased by a 30-day tariff pause, but further developments could trigger more volatility. He also noted that institutional involvement through ETFs and the growing integration of crypto into mainstream finance would likely keep Bitcoin and other major cryptocurrencies correlated with risk assets for the foreseeable future. Beyond DeepSeek, broader economic factors such as trade tensions and US jobs data could continue to shape investor behavior. President Trump’s new tariffs have already caused over $2 billion in liquidations, wiping out over 730,000 traders in a single day, according to Coinglass data. While the market remains volatile, long-term crypto investors continue to look beyond short-term fluctuations. The industry has weathered similar downturns before and has historically rebounded. The coming weeks will reveal whether inflows stabilize or if market uncertainty continues to weigh on digital assets.

Lesen Sie den Haftungsausschluss : Alle hierin bereitgestellten Inhalte unserer Website, Hyperlinks, zugehörige Anwendungen, Foren, Blogs, Social-Media-Konten und andere Plattformen („Website“) dienen ausschließlich Ihrer allgemeinen Information und werden aus Quellen Dritter bezogen. Wir geben keinerlei Garantien in Bezug auf unseren Inhalt, einschließlich, aber nicht beschränkt auf Genauigkeit und Aktualität. Kein Teil der Inhalte, die wir zur Verfügung stellen, stellt Finanzberatung, Rechtsberatung oder eine andere Form der Beratung dar, die für Ihr spezifisches Vertrauen zu irgendeinem Zweck bestimmt ist. Die Verwendung oder das Vertrauen in unsere Inhalte erfolgt ausschließlich auf eigenes Risiko und Ermessen. Sie sollten Ihre eigenen Untersuchungen durchführen, unsere Inhalte prüfen, analysieren und überprüfen, bevor Sie sich darauf verlassen. Der Handel ist eine sehr riskante Aktivität, die zu erheblichen Verlusten führen kann. Konsultieren Sie daher Ihren Finanzberater, bevor Sie eine Entscheidung treffen. Kein Inhalt unserer Website ist als Aufforderung oder Angebot zu verstehen