Cryptocurrencies registered a significant drop last week, driven by the outflow of approximately USD 700 million from investment funds, according to data provided by CoinShares.
This negative trend is center almost exclusively in the United States, where USD 721 million in outflows were recordedCanada also saw a withdrawal of funds, although to a lesser extent, with USD 28 million.
In Europe, the picture was slightly more optimistic. Germany and Switzerland saw outflows of USD 16.3 million and USD 3.2 million respectively, suggesting a less pessimistic sentiment compared to North America.
Bitcoin (BTC), the most prominent digital asset, did not escape this downtrend, with total outflows of USD 643 million in their investment funds. In addition, short positions in bitcoin received minor inflows of USD 3.9 million, indicating caution among investors who are betting on a decrease in the price of BTC.
Cryptocurrency investment products, as a whole, experienced outflows totaling USD 72 millionequaling the largest outflow recorded in March this year. This phenomenon can be interpreted as a reallocation of capital towards assets considered less risky or more stable in the short term.
CoinShares suggests that this sentiment Negative could be related to stronger than expected macroeconomic data last week, increasing the likelihood of a 25 basis point interest rate cut by the US Federal Reserve.
CriptoNoticias reported that bitcoin ETFs marked a negative record with 8 consecutive days of money outflows. Following the publication of employment data in the United States, These funds reported capital outflows of USD 167 millionreflecting a risk aversion in the market.
The price of bitcoin reached almost USD 52,000 in the last week, highlighting Market volatility and sensitivity to macroeconomic news and investor movements.
This article was created using artificial intelligence and edited by a human on the editorial staff.