CoinShares data showed that digital asset investment products had a total outflow of $600 million last week, the highest outflow since March. In addition, inflation data has led traders to lower their expectations for the Federal Reserve to cut interest rates this year, posing a challenge to speculative investments such as cryptocurrencies.
Stocks and bonds have delivered higher returns than bitcoin this quarter, a reversal from the three months to March, when digital assets significantly outperformed traditional markets.
Yesterday, CoinShares' latest weekly report showed that digital asset investment products had a total outflow of $600 million last week, the largest outflow since March 22, 2024. In addition, the outflow of funds was entirely concentrated on Bitcoin, with an outflow of $621 million. Bearish sentiment also led to $1.8 million flowing into Bitcoin short positions. A variety of Altcoin saw inflows, with Ethereum, LIDO and XRP ranking in the top three, with inflows of $13 million, $2 million and $1 million, respectively.
