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Crypto Funds Face Record $6.4 Billion Outflows Over Five Weeks

Bitcoin and Ethereum ETFs lead the downturn as macroeconomic and geopolitical pressures weigh on investor sentiment.

  • Digital asset investment products have experienced $6.4 billion in outflows over five weeks, marking the worst stretch on record, according to CoinShares.
  • Bitcoin-focused ETFs in the U.S. accounted for $5.4 billion of the outflows, the largest streak since their launch in January 2024.
  • Macroeconomic concerns, including inflation, trade tensions from new tariffs, and anticipation of the Federal Reserve's policy decision, are driving risk-averse behavior among investors.
  • Bitcoin's price has dropped 21% over the last three months, trading around $83,000, while Ethereum has seen a 42% quarterly decline, reflecting broader market weakness.
  • Analysts suggest the Federal Reserve's decision on interest rates this week could influence crypto market trends, with potential optimism if borrowing costs are reduced.
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