Crypto ETFs Shed a Record $6.4 Billion in 5 Weeks: CoinShares
A recent report from CoinShares reveals that crypto ETFs have experienced unprecedented outflows totaling $6.4 billion since February 7, marking the worst stretch in their history. The data shows that last week alone, investors withdrew $1.7 billion, with $978 million coming from Bitcoin funds as the cryptocurrency's price plummeted to a four-month low of $77,000. While Bitcoin's price has regained some ground, analysts, including CoinShares Head of Research James Butterfill, predict that further challenges remain. Butterfill noted substantial resistance at the new price levels and expressed that more pain may be forthcoming, although the pace of outflows may soon decline. Consumer sentiment in the U.S. has dipped to its lowest since November 2022 amidst concerns over the administration’s tariff policies, leading to speculation that the Federal Reserve might soon cut interest rates, potentially benefiting crypto prices. Alongside these developments, concerns have emerged regarding the Trump administration's approach to crypto, raising alarms among European financial officials about potential risks to financial stability.
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