Crypto Market Sees $1
Billion Outflows—
Bitcoin• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Bitcoin And Select Altcoins
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Crypto Market Sees $1 Billion Outflows—Bitcoin• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Bitcoin And Select Altcoins Show
Resilience
by Samuel Edyme
1 hour ago
in Crypto News
0
The latest report from CoinShares, a leading digital asset investment firm,
reveals that last week s performance for crypto asset investment
products was mixed.
According to the report, the market experienced inflows totaling $308 million,
marking a continuation of positive trends. However, there was also a series of
outflows that amounted to roughly $1 billion.
Related Reading: Bitcoin• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Bitcoin Spot-Perpetual Price Gap Turns Negative – Bearish
Signal Or Not?
Deciphering The Fund Flows
The data shared by CoinShares highlighted substantial outflows, with December
19 witnessing a single-day outflow of $576 million. The final two days of the
week contributed an additional $1 billion in total outflows, raising concerns
among market participants about sustained investor sentiment . Weekly crypto
asset flows. | Source: CoinShares
James Butterfill, Head of Research at CoinShares, explained that these
outflows coincided with a price correction and followed
the hawkish outlook presented by the Federal Reserve during its Federal
Open Market Committee (FOMC) meeting.
According to Butterfill, the market reacted to the revised dot
plot, which suggested potential future interest rate hikes. Despite
these notable outflows, the cumulative impact on total assets under management
(AuM) was relatively minor, equating to just 0.37% of total AuM.
Butterfill further noted that this event ranks as the 13th largest single-day
outflow recorded, with the most significant outflow occurring in mid-2022
after a similar FOMC announcement.
While the headline numbers suggest market caution, Bitcoin (BTC• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Bitcoin) showed
resilience, managing net inflows of $375 million despite intra-week
volatility. Notably, short Bitcoin• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Bitcoin products saw minimal activity, indicating
continued investor confidence in Bitcoin• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Bitcoin s long-term potential .
BTC price is moving upwards on the 1-hour chart. Source: BTC/USDT on
TradingView.com
Altcoins and Multi-Asset Investment Trends
The report further revealed the contrasting performances between various
altcoins and multi-asset investment products. Particularly, outflows from
multi-asset funds were quite significant hitting $121 million, as investors
took a more selective, asset-specific approach.
Such behavior indicates investors are becoming pickier and targeting assets
with firmer fundamentals and the potential to grow. Ethereum (ETH• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Ethereum) remained a
prominent performer, securing $51 million in inflows over the week.
These inflows reaffirm Ethereum• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Ethereum s position as a key player in the
digital asset space, driven by sustained institutional interest and optimism
surrounding its technological upgrades. Crypto asset fund flows
However, not all major altcoins shared this positive momentum. Butterfill
reveals that Solana (SOL) experienced $8.7 million in outflows, contrasting
sharply with Ethereum• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Ethereum s positive movement.
It is worth noting that the discrepancy suggests a divergence in investor
sentiment between these two major assets, potentially influenced by ongoing
ecosystem developments and perceived risks.
Related Reading: Bitcoin• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Bitcoin And Ethereum• Экономика » Финансы » Платежные средства » Платежные системы интернета » Криптовалюта » Ethereum Lead $3.2B Weekly Crypto Inflows As
Investor Confidence Soars
In contrast, following ETH, XRP emerged as one of the standout altcoin
performers, recording $8.8 million in inflows. Similarly, Horizen (ZEN) and
Polkadot (DOT) reported inflows of $4.8 million and $1.9 million,
respectively, highlighting a preference for specific altcoins despite broader
market volatility.
These inflows suggest continued investor confidence in the long-term potential
of select blockchain• Информационные технологии » Информационно-коммуникационные технологии » Информационные технологии и телекоммуникации » Базы данных » Публичная база транзакций » Блокчейн
• Высокие технологии » Информационные технологии и телекоммуникации » Базы данных » Публичная база транзакций » Блокчейн ecosystems, even amid short-term corrections .
Featured image created with DALL-E, Chart from TradingView