Digital Asset Funds Suffer $1.7 Billion Weekly Outflow for Fifth Consecutive Week

In another week ending March 16, digital asset investment products registered net outflows of $1.7 billion, expanding the outflow trend to five consecutive weeks. Due to price downturns and continued outflows, total AUMs have decreased by $48 billion, according to data reported by Coinshare today. Despite the persistent bearish sentiment, year-to-date inflows stay positive at $912 million. This indicates that investors are still optimistic about some projects, hoping for their long-term growth despite widespread weakness in the broader digital asset market.

Market under selling pressure

According to Coinshare data, Bitcoin experienced a further $978 million in outflows over the past week, showing investors continue to remain cautious. These latest withdrawals bring total Bitcoin outflows over the past 5 weeks to $5.4 billion.

Meanwhile, bearish sentiment was also noticed among various altcoins last week, according to the Coinshare report. Altcoins like Ethereum, XRP, and Solana recorded outflows valued at $175 million, $1.8 million, and $2.2 million respectively over the week. Binance was heavily affected after investors pulled out most assets from its AUM, leaving only $15 million in the fund.

Blockchain-related stocks also recorded significantly outflows. As per the report, assets worth $48 million were wiped out from such Blockchain ETPs over the past week. This shows the ongoing bearish sentiment is not just limited to volatile crypto funds. It is widespread, affecting Blockchain-related stocks and even prevail in the traditional equity market.

Regional trends

Based on geographical market performance, the Coinshare data showed different market outlooks across regions. The US experienced the largest outflows, totaling $1.16 billion over the week. While Switzerland recorded $528 million in outflows, Germany registered slight inflows valued $8 million. Generally, the data showed US investors are the most bearish, recognized by their aggressive withdrawal behavior. However, European investors show a different picture – they are capitalizing on lower prices to accumulate tokens.