According to the latest report from CoinShares, global cryptocurrency investment products from asset managers such as Ark Invest, Bitwise, BlackRock, Fidelity, Grayscale, ProShares, and 21Shares saw net inflows of $543 million the week before, followed by net outflows last week, totaling $305 million.
James Butterfill, head of research at CoinShares, said the outflows came amid “widespread negative sentiment across multiple vendors and geographies” and as stronger-than-expected economic data from the U.S. “reduced the likelihood of a 50 basis point rate cut.”
Butterfield added, “We continue to expect asset classes to become increasingly sensitive to rate expectations as the Fed moves closer to the pivot.”
Weekly Crypto Asset Flows. Image: CoinShares.
Negative sentiment focused on Bitcoin
According to Butterfield, negative sentiment was concentrated on Bitcoin, with the most prominent cryptocurrency-based investment product seeing a net outflow of $319 million last week. Additionally, short Bitcoin funds recorded inflows of $4.4 million for the second week in a row, the largest since March.
Net outflow of $277.2 million from US spot Bitcoin 
Bitcoin
+2.12%
Just looking at ETFs last week, we can see that ETFs have plummeted with negative monthly flows. That’s $94.2 million, the first since April, The Block reported Saturday, compared with a total net inflow of $3.2 billion in July.
Meanwhile, global Ethereum 
Ethereum
+3.37%
Butterfill also noted that investment products also saw net outflows of $5.7 million last week, with volumes down to 15% of the level seen the week of the US spot ETF launch in late July, similar to pre-launch volumes.
The US spot Ethereum ETF saw net outflows of $12.4 million last week and no inflows on Friday, indicating that interest in the product is waning.
However, Solana-based funds bucked the trend, adding $7.6 million in net inflows last week. Blockchain stocks also saw $11 million in net inflows, with a particular focus on Bitcoin miner investment products, according to a CoinShares report.
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