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Bitcoinist 2025-03-10 23:30:13

Crypto Outflows Continue as US Investors Pull Back: $876M in One Week

CoinShares, a prominent European digital asset manager, earlier today released its latest report on cryptocurrency investment flows. The findings revealed that digital asset investment products experienced their fourth consecutive week of outflows, totaling $876 million. Despite the slowdown in outflows compared to previous weeks, CoinShares’ Head of Research, James Butterfill, noted that investor sentiment continues to lean bearish. Regional and Asset-Specific Trends Over the past four-week, cumulative outflows reached $4.75 billion, according to CoinShares, reducing the year-to-date inflows to $2.6 billion. As a result, the company’s total assets under management (AuM) in digital assets have declined by $39 billion from their previous peak, now sitting at $142 billion. This marks the lowest point for AuM since mid-November 2024, driven by a combination of negative price movements and persistent outflows. The report further indicated that US investors showed the strongest bearish tendencies , pulling out $922 million during the week. In contrast, other regions interpreted the market conditions as a buying opportunity. Switzerland led the inflows with $23 million, followed by Canada and Germany with $14.7 million and $13.3 million respectively. In terms of asset-specific trends, Bitcoin dominated the outflows, shedding $756 million over the week. Interestingly, short-Bitcoin products also saw outflows totaling $19.8 million, the largest since December 2024. Altcoins were not immune to this negative sentiment either, as Ethereum experienced $89 million in outflows, while Tron and Aave saw $32 million and $2.4 million exit respectively. Conversely, a few altcoins recorded inflows, with Solana attracting $16.4 million, XRP gaining $5.6 million, and Sui receiving $2.7 million. Crypto Market Performance Amid the negative fund flows reported by CoinShares, the overall crypto market performance has shown a similar downward trend, reflecting a steady decline in valuation. Particularly, according to data from CoinGecko, over the past week, the global cryptocurrency market capitalization has plunged from $3.26 trillion seen last Monday to $2.81 trillion as of today—roughly $450 billion decline. This drop comes as a result of the unstable upward momentum from BTC. This lack of upside momentum has led to BTC seeing more decrease in price than increase. In the past 7 days, Bitcoin has seen an 11.3% drop. Its past day price action has also added to this negative performance with BTC currently trading at a price of $82,370, marking an additional 2.3% drop to its price. The continous drop from BTC has been pushing the asset further away from its all-time high above $109,000 registered in January. At current market price, BTC is down nearly 25% from this peak. Other major cryptocurrencies including Ethereum and Solana have also followed BTC closely in its bearishness with both assets down by 11.9% and 22.9% respectively over the past 7 days. Featured image created with DALL-E, Chart from TradingView

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