Cryptocurrency investment products faced a challenging series of consecutive weeks with outflows reaching $435 million, marking the most significant outflow since March of this year. Despite the slowdown in outflows from Grayscale, new issuers also experienced a slowdown in inflows, collecting only $126 million last week.
Most of the outflows, totaling $388 million, were concentrated in the US market, highlighting a notable decline. However, it is important to acknowledge that inflows remained strong, reaching $13.6 billion since the beginning of the year.
In terms of details, Grayscale’s portfolio experienced a significant drop, with outflows of $440 million, marking its lowest performance in the past nine weeks.
Meanwhile, Germany and Canada struggled with negative sentiment, witnessing outflows of $16 million and $32 million, respectively. In contrast, Switzerland and Brazil defied this trend, recording inflows of $5 million and $4 million, respectively.
Bitcoin and Ethereum bore the brunt of the outflows, with $423 million and $38 million, respectively, leaving these assets. However, there is a glimmer of hope as various altcoins attracted investor attention. Multi-coin investment products showed a modest increase with inflows of $7 million, while altcoins like Solana, Litecoin, and Chainlink continued to shine with inflows of $4 million, $3 million, and $2.8 million, respectively.
In terms of trading volumes, ETPs experienced a decline that coincided with a 6% drop in Bitcoin prices. The figure dropped from $18 billion to $11.8 billion. Despite these challenges, the cryptocurrency market continues to remain dynamic, offering opportunities amidst evolving trends and investor sentiments.
Disclaimer: The information provided in this article should not be considered as investment advice. Investors should be aware that cryptocurrencies are highly volatile and carry risks, and should conduct their own research.