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Cryptocurrency funds saw outflows last week after recording five consecutive weeks of inflows. according to Currency sharing data, digital asset funds saw net outflows of $600 million for the week ending June 14. External flows were concentrated in Bitcoin and Solana funds, which saw exits of $621 million and $0.2 million, respectively. These outflows come in the middle of the interview Bitcoin price drop Throughout the week, the Federal Open Market Committee (FOMC) meeting was tighter than expected during the week.
Cryptocurrency funds have been hemorrhaging the most since March, with Bitcoin leading the way
Cryptocurrency funds saw $600 million in outflows last week after a massive $2 billion outflow the week before, ending a recent outflow of $4.35 billion over five weeks. The recorded outflow, according to CoinShares data, was the largest since March 22, 2024, and occurred under similar circumstances. It is worth noting that the outflow that ended on March 22 came after a period of large inflows that totaled $3 billion in the previous week. Investors had to unwind their exposure to more stable assets Because of the result From the Federal Open Market Committee meeting.
Federal Open Market Committee held its last meeting On June 11 and 12, 2024, keeping interest rates at 5.25%-5.50%, prompting many cryptocurrency investors to withdraw. Cryptocurrencies are viewed as a risky and speculative asset, so it is natural for investors to move to safer havens given the rising interest rate.
Unsurprisingly, most of the outflows came from Bitcoin, with crypto funds of the leading crypto asset losing around $621 million. Furthermore, the majority of these Bitcoin outflows were recorded in spot Bitcoin ETFs trading in the US. According to the data, Spot Bitcoin ETFs saw outflows every day in the past week, with the exception of an inflow of $100.8 million on June 12. As a result, Bitcoin ETFs recorded a total of $580 million in outflows last week. The negative sentiment of Bitcoin investors was also reflected in short Bitcoin products that received inflows worth $1.8 million.
Solana who It was also a rough week In terms of price movement, it recorded $0.2 million of outflows into its investment products. In addition, multi-asset investment products saw outflows of $1.1 million. Trading volume averaged about $11 billion during the week, well below the weekly average of $22 billion for the year. These outflows and small trading volume led to total assets under management (AuM) falling from over $100 billion to $94 billion during the week.
On the other side, Receive Ethereum $13.1 million in outflows as investor interest continues to grow in anticipation of the crisis Launch of Spot Ethereum ETFs. BNB, Litecoin, XRP, Chainlink, and Cardano also saw inflows of $0.3 million, $0.8 million, $1.1 million, $0.7 million, and $0.8 million, respectively.
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