12/02/2024
BTC96,278.0
ETH3,677.12
XRP2.72
USDT1.0
SOL225.96
BNB642.12
DOGE0.42395
USDC0.99994
BUSD0.98745
Last news
06/24/2024

Investors withdraw $1.2 billion from crypto funds as Fed rate cut pessimism rises

06/24/2024
4,5

Cryptocurrency assets have witnessed consecutive weeks of withdrawals, with the past week seeing an exodus of $584 million, culminating in a fortnight total of $1.2 billion. CoinShares, a prominent asset management entity, interprets this trend as likely rooted in investor skepticism concerning anticipated reductions in interest rates by the Federal Reserve within the current year.

Bitcoin (BTC) bore the brunt of these outflows, with investors pulling out $630 million in the last week alone. Despite this bearish outlook, there hasn't been a notable uptick in bearish bets against BTC, which only experienced a minor $1.2 million in outflows.

On the flip side, Ethereum (ETH) wasn't spared from the downturn, recording outflows of $58 million. Yet, it wasn't all gloom for altcoins, as Solana, Litecoin, and Polygon managed to attract inflows of $2.7 million, $1.3 million, and $1 million, respectively, buoyed by recent drops in their prices.

Interestingly, multi-asset investment vehicles saw an influx of $98 million, an indicator that some market participants are seizing the lower altcoin prices as purchasing opportunities, as underscored by analysts at CoinShares.

From a geographical standpoint, the United States led in outflows, totaling $475 million, with Canada trailing at $109 million. Both Germany and Hong Kong also witnessed withdrawals, amounting to $24 million and $19 million, respectively. On the brighter side, Switzerland and Brazil bucked the trend by absorbing inflows of $39 million and $8.5 million, in that order.

This period also recorded the lowest activity levels in exchange-traded products (ETPs) since the inception of US-based ETFs in January, with transactions barely reaching $6.9 billion.


Subscribe to Cryptonica.News
on social networks

The materials found on the Cryptonica website shall not be taken as individual investment recommendations. The financial instruments or operations mentioned therein may not align with your investment profile or objectives. We assume no responsibility for any missing facts or inaccurate information in the texts. Cryptocurrencies are financial assets with high risk and volatility. Therefore, it is crucial that you conduct your own research on financial instruments and make independent decisions. Before engaging in any actions related to cryptocurrency, you shall study, understand, and comply with the laws applicable in your region and country.


How useful is this article for you?
Thank you for your review!

Last news