The uninterrupted inflow series of 15 weeks in cryptocurrency investment products came to an end due to profit-taking triggered by the hawkish messages from the US Federal Reserve (Fed) and strong economic data.
Digital asset investment products saw a total outflow of 223 million dollars last week, thus ending a 15-week positive flow trend. At the beginning of the week, there was a significant inflow of 883 million dollars, but from the middle of the week onwards, the hawkish messages from the Fed regarding monetary policy and strong economic data exceeding expectations from the US caused investors to realize their gains.
Especially the weak US non-farm payroll data that came on the last day of the week gave dovish signals for the Fed, but the general risk-averse sentiment in the market prevailed, and outflows exceeded 1 billion dollars on Friday. With a total net inflow of 12.2 billion dollars over the last 30 days, it was considered normal for investors to engage in a small profit-taking.
Outflow in Bitcoin, Record Series in Ethereum
The negative sentiment in the market hit Bitcoin (BTC) the hardest, with an outflow of 404 million dollars from investment products throughout the week. Nevertheless, the total inflows for Bitcoin year-to-date (YTD) remain around 20 billion dollars. This situation is due to Bitcoin's sensitivity to US monetary policies.
On the other hand, Ethereum (ETH) investors maintained their positive stance, and the asset completed its 15th consecutive week with inflows, seeing a net inflow of 133 million dollars on a weekly basis. In addition to Ethereum, investment products for XRP saw 31.2 million dollars, Solana (SOL) received 8.8 million dollars, and the recently popular SEI attracted 5.8 million dollars. Additionally, smaller inflows were seen in Aave and Sui, attracting 1.2 million dollars and 0.8 million dollars respectively.