- CoinShares' weekly report reveals crypto ETFs experienced heavy outflows of over $600 million.
- US Bitcoin ETFs experienced the highest decline with $565 million in outflows.
- Bitcoin, Ethereum and Solana start week in decline as they struggle to shake off impact of FOMC meeting.
Crypto ETFs experienced heavy outflows totaling $621 million in the past week, potentially spurred by the Federal Reserve (Fed) keeping interest rates steady, according to the CoinShares weekly digital asset report on Monday.
Bitcoin ETFs experience heavy outflows for first time since May
Digital asset ETFs experienced their highest outflows since March in the past week, according to the report. The surprise outflows were possibly a result of "a more hawkish-than-expected FOMC meeting, prompting investors to scale back their exposure to fixed supply assets."
Also read: Top 3 Price Prediction Bitcoin, Ethereum, Ripple: Bitcoin retesting its major resistance level
The combined weekly outflows amounted to $621 million, significantly affecting Bitcoin ETFs. The downturn in digital asset ETF inflows put an end to a five-week consistent inflow that had been observed since May, particularly among US Bitcoin ETFs, which saw about $565 million in outflows.
Grayscale and Arkham experienced the highest declines with $273 million and $150 million in outflows, respectively. Fidelity ETFs were not far behind with $146 million in outflows.
Read more: Crypto investment products see record-breaking inflows following growth in Bitcoin ETFs
Amid the huge outflows from Bitcoin ETFs, Ethereum, Lido, and XRP ETFs all saw inflows in the past week.
The Fed's decision to keep interest rates between 5.25% and 5.50% at last week’s meeting largely sparked losses among top crypto assets, with Bitcoin and Ethereum starting the week with over 1% declines following CoinShares' report.
Bitcoin struggled to surpass the $66K mark over the weekend after hitting its highest low on Friday, trading at $65.1K. The largest digital asset resumed Monday with a 1% drawback but has climbed to $66.8K in the past few hours.
Also read: Bitcoin active addresses hit lowest level in five years, BTC ranges below $67,000
ETH and SOL also began the week with declines of 1% and 2%, respectively. XRP is the only token in the top 10 that is trading in the green, with a rise of nearly 6% in the past 24 hours.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Is Altcoin Season here as Bitcoin reaches a new all-time high?
Bitcoin reaches a new all-time high of $98,384 on Thursday, with altcoins following the suit. Reports highlight that the recent surge in altcoins was fueled by the victory of crypto-friendly candidate Donal Trump in the US presidential election.
Shanghai court confirms legal recognition of crypto ownership
A Shanghai court has confirmed that owning digital assets, including Bitcoin, is legal under Chinese law. Judge Sun Jie of the Shanghai Songjiang People’s Court shared this opinion through the WeChat account of the Shanghai High People’s Court.
BTC hits an all-time high above $97,850, inches away from the $100K mark
Bitcoin hit a new all-time high of $97,852 on Thursday, and the technical outlook suggests a possible continuation of the rally to $100,000. BTC futures have surged past the $100,000 price mark on Deribit, and Lookonchain data shows whales are accumulating.
Shiba Inu holders withdraw 1.67 trillion SHIB tokens from exchange
Shiba Inu trades slightly higher, around $0.000024, on Thursday after declining more than 5% the previous week. SHIB’s on-chain metrics project a bullish outlook as holders accumulate recent dips, and dormant wallets are on the move, all pointing to a recovery in the cards.
Bitcoin: New high of $100K or correction to $78K?
Bitcoin surged to a new all-time high of $93,265 in the first half of the week, followed by a slight decline in the latter half. Reports highlight that Bitcoin’s current level is still not overvalued and could target levels above $100,000 in the coming weeks.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.