After a 15-week winning streak, the crypto market finally saw some money leave. Last week, investors pulled out a whopping $223 million, marking the first weekly outflows in over three months.
What Happened?
CoinShares, a big name in crypto asset management, reported the downturn. They say the change in mood started after some key US economic news and a Federal Reserve meeting that didn’t exactly cheer investors on. Things started well, with $883 million flowing in at first, but then a big shift happened – over $1 billion flowed out on Friday alone!
Bitcoin Takes the Biggest Hit
Bitcoin, always sensitive to economic changes, felt the pinch the most. It saw $404 million in outflows, a pretty significant drop. Despite this, Bitcoin is still doing well overall this year, with $20 billion in inflows.
Some Altcoins Still Doing Well
While Bitcoin bled, some other cryptocurrencies (altcoins) remained popular. Ethereum, for example, had its 15th straight week of inflows, taking in $133 million. XRP, Solana, SEI, Aave, and Sui also saw positive inflows, showing that some investors are still interested in a variety of cryptos.
The Big Picture
Despite the sudden outflow, CoinShares remains optimistic about the long-term outlook for crypto. They point out that overall assets under management are still high. They also expect this kind of thing – big inflows followed by some profit-taking – to continue as investors react to changing economic conditions. The bottom line? Crypto is still sensitive to what the US Federal Reserve does, so expect some ups and downs.