Crypto markets saw a significant pullback last week, with investors withdrawing a whopping $795 million from investment products. This marks the third week in a row of outflows, fueled by concerns over global economic uncertainty and recent tariff disputes.
Bitcoin Takes the Biggest Hit
Bitcoin bore the brunt of the withdrawals, seeing $751 million pulled out. Despite this, Bitcoin is still up for the year, with net inflows of $545 million year-to-date. Even products designed to profit from Bitcoin’s decline saw outflows.
Altcoins Show Mixed Results
While Bitcoin led the outflows, other cryptocurrencies showed a mixed bag. Ethereum saw the second-largest withdrawal at $37.6 million. Solana, Aave, and Sui also experienced moderate outflows. However, some smaller cryptocurrencies, like XRP, actually saw inflows, suggesting some investors are diversifying.
A Price Rebound and Market Stabilization
The overall negative trend, which started in early February, has resulted in a massive $7.2 billion outflow, almost wiping out all year-to-date inflows. Currently, net inflows for the year are a meager $165 million.
However, things took a turn towards the end of the week. A slight recovery in crypto prices, potentially linked to a pause on some tariffs, led to an 8% increase in total assets under management (AuM), reaching $130 billion.
Bitcoin surged by roughly 10% in the past week, trading above $84,000. Ethereum also saw a similar increase, jumping nearly 10% to around $1,660. Other altcoins like XRP and Solana also experienced significant gains.
