There has been a significant shift in digital asset investment trends, with outflows reaching $415 million after 19 consecutive weeks of inflows following the US election. During this time, inflows amounted to $29.4 billion, far surpassing the $16 billion accumulated in the first 19 weeks of US spot ETF trading since January 2024. CoinShares Head of Research James Butterfill linked this change to concerns over Federal Reserve Chair Jerome Powell’s recent comments on tighter monetary policy and unexpectedly high inflation data.
According to the latest Digital Asset Fund Flows Weekly Report, Bitcoin, which is particularly sensitive to interest rate expectations, suffered substantial losses last week, with outflows reaching $430 million. Notably, short-Bitcoin products also recorded $9.6 million in outflows. Ethereum experienced a similar trend, with $7.2 million in outflows, and multi-asset products saw a decline of $0.6 million during the same period.
Conversely, Solana led with $8.9 million in inflows, followed by XRP and Sui, attracting $8.5 million and $6 million, respectively. Cardano and Litecoin saw smaller inflows of $1.9 million and $1.2 million each. Blockchain equities maintained momentum with $20.8 million in inflows, pushing year-to-date totals to $220 million.
The United States accounted for $464 million in outflows, while other countries remained stable. Hong Kong and Brazil saw outflows of $4 million and $2.1 million, respectively, over the past week. Positively, Germany led with $21 million in inflows, followed by Switzerland at $12.5 million and Canada at $10.2 million. Australia and Sweden had more modest inflows of $2.3 million and $0.9 million, respectively.
Twitter: Investment trends in digital assets see a major reversal with Bitcoin and Ethereum facing large outflows, while Solana and XRP lead inflows. #CryptoTrends #BlockchainInvestments
