Last week, digital asset fund flows delivered $72 million in outflows – the second consecutive week of exits.
Speculation is that a looming Federal Reserve rate hike has cooled the digital asset market.
According to the report by CoinShares, Bitcoin saw the majority of outflows totaling $46 million last week, while short-Bitcoin also saw its largest outflows since December 2022.
Ethereum also declined in popularity, seeing outflows totaling $19 million last week, its largest week of outflows since the Merge in September 2022.
The report states that crypto volumes remain subdued for the broader market (50% less than year average) while ETP investment product volumes at US$1.7 billion for the week are 16% above the year average.
Outflows were seen across all geographies and providers, but primarily in Germany and Canada totaling $40 million and $14 million, respectively.
A small selection of altcoins apparently saw minor inflows, including Solana, Algorand, and Polygon with $0.2m $0.17m, andS$0.14m, respectively.
Blockchain equities suffered too experiencing outflows of $2.5 million last week, although YTD net flows remain positive at $27 million.