5 Weeks of Exits Show Deepening Investor Fatigue

XRP, Solana, and Chainlink recorded small inflows, but this was not enough to offset the broader, ongoing altcoin outflow.

Investor interest in digital asset funds remains muted after $288 million in weekly outflows. This is the fifth consecutive week of bailouts, resulting in total withdrawals of $4 billion, still following $6 billion last year.

Market participation fell sharply, as ETP trading fell to $17 billion, the weakest level since July 2025, amid signs of disinterest among institutions and retail providers alike around the world this quarter.

Short Bets Silent Surgery

According to the latest edition of CoinShares’ Digital Asset Fund Flows Weekly Report, Bitcoin continues to lead the market, shedding $215 million. In addition, the bearish stance strengthened as short-bitcoin funds absorbed $5.5 million, the highest inflow among individual assets. Ethereum also experienced a significant withdrawal of $36.5 million, combined with continued sales in many commodity products and Tron, which lost $32.5 million and $18.9 million, respectively.

While XRP, Solana, and Chainlink attracted moderate inflows of between $1.2 and $3.5 million, these gains did nothing to offset the persistent net outflows across all altcoins.

The US dominated weekly flows on the downside as it contributed $347 million to outflows, while investors outside the country treated the recent price decline as a point of entry. Revenue is led by Switzerland, Canada, and Germany with $19.5 million, $16.8 million, and $16.2 million, respectively. Smaller allocations of $3 million, $2.7 million, and $1 million also went to Brazil, Australia, and the Netherlands, respectively.

Bitcoin Caught in a Big Storm

Bitcoin fell below $65,000 during early Asian trading on Monday, resulting in nearly $230 million in long-term losses as markets grappled with a mix of sovereign and major risks. The move follows Donald Trump’s decision to raise the proposed global tariff to 15%, announced shortly after the United States Supreme Court struck down his “Liberation Day” tariffs.

This was enough to compound the policy uncertainty amid already waning appetite and renewed concerns about a possible US-Iran conflict. QCP Capital said the focus is not on whether Bitcoin has failed, but on how long the storm continues.

You may also like:

With BTC on pace for a fifth monthly close in the red, historically a late phase signal, all eyes are now on things to come, including progress on the Clarity Act and the US-Iran talks. But QCP added that a $74,000 recovery is still essential to a long-term recovery.