Crypto Funds Bleed $352 Million Weekly Outflows Despite Optimism Over Fed Cuts: Report

Crypto investment products saw $352 million in outflows over the past week, while trading volumes plummeted by 27%. However, the year-to-date (YTD) inflows remain robust at $35.2 ￰0￱ Sees Inflows, Ethereum Products Struggle According to CoinShares’ latest Digital Asset Fund Flows Weekly Report, despite weaker payroll figures and greater prospects for a September interest rate cut in the US, crypto products struggled to attract or even retain their ￰1￱ the crypto products, Bitcoin-based (BTC) products were successful in attracting $524 million in funds on a net ￰2￱ from SoSoValue shows that $144 billion worth of BTC – representing almost 6.5% of total market cap – is tied up in BTC investment products.

Meanwhile, it was Ethereum (ETH) products that led the net outflows, witnessing $912 million in outflows last ￰3￱ sharp contrast to the trend the week prior, these products saw outflows every day for the last seven trading ￰4￱ last week’s net outflows, Ethereum exchange-traded products (ETPs) inflows remain elevated at $11.2 billion for the ￰5￱ value tied in US spot ETH exchange-traded products (ETPs) currently stands at $27.64 ￰6￱ altcoins – such as Solana (SOL) and XRP – also saw steady inflows, attracting $16.1 million and $14.7 million in inflows, ￰7￱ reports suggest that regulated XRP spot exchange-traded funds (ETFs) are nearing launch in the ￰8￱ terms of countries, the US saw $440 million in outflows, while Germany and Hong Kong witnessed $85.1 and $8.1 million in inflows, ￰9￱ countries such as Australia, Brazil, and Canada, recorded inflows as ￰10￱ Crypto Investment Products See A Rebound?

The recent beating taken by crypto ETPs signals waning interest in digital assets. However, the price of leading cryptocurrencies such as BTC and ETH continues to hover close to their latest all-time highs (ATHs), hinting that high net outflows from crypto ETPs may be temporary. Recently, institutional adoption of Bitcoin reached another milestone as the total BTC held by public companies surged past one million. Meanwhile, ETH also continues to witness rapid adoption as an increasing number of firms embrace the top smart contract ￰11￱ triggers – such as the US Federal Reserve (Fed) slashing interest rates – are likely to benefit risk-on assets, including ￰12￱ estimates from FedWatch Tool give an 88.4% chance of the Fed cutting interest rates by 25 basis points later this ￰13￱ their launch in 2024, spot Bitcoin ETFs have experienced tremendous ￰14￱ analyses predict that Bitcoin ETFs are likely to surpass their gold counterparts in the ￰15￱ said, it would be prudent to avoid over enthusiasm, as the Bitcoin mining industry is suffering since BTC’s last halving in ￰16￱ things don’t change soon, miners may increase Bitcoin selling ￰17￱ press time, BTC trades at $112,481, up 1.4% in the past 24 hours.