Digital asset investment products encountered significant hurdles. The sector experienced outflows amounting to $352 million, even as expectations grew for a market uplift due to disappointing payroll numbers and possible interest rate reductions in the U.S. Trading volumes saw a notable 27% drop, indicating a brief slowdown in investor interest.
Year-to-date inflows are holding strong at $35.2 billion, surpassing last year’s numbers by 4.2% on an annualized basis. Investor sentiment showed notable differences across regions, as the United States faced outflows amounting to $440 million. On the other hand, Germany and Hong Kong saw inflows of $85.1 million and $8.1 million, respectively, reflecting a varied global perspective on digital asset investments. Bitcoin achieved net inflows of $524 million, solidifying its status as a preferred digital asset even amid wider market uncertainty. In contrast, Ethereum was the primary driver behind the week’s outflows, with $912 million withdrawn. Ethereum experienced a steady decline, marked by daily outflows over the past week from multiple exchange-traded product issuers.
Even with the current downturn, Ethereum has seen impressive year-to-date inflows totaling $11.2 billion. Solana and XRP have maintained strong investor interest, with Solana achieving its 21st consecutive week of inflows, amounting to $1.16 billion year-to-date. XRP demonstrated robust performance with $1.22 billion in inflows during the same timeframe, underscoring their resilience amid market fluctuations.