CoinShares: Pessimism Lingers as Digital Asset Investment Products Face $795 Million in Weekly Withdrawals

A European investment firm focused on digital assets CoinShares has released its latest findings, highlighting the ongoing trend of net outflows in digital asset investment vehicles, which have reached a total of $795 million over the last three weeks. 

The report connects the continuous withdrawals—beginning in early February—with widespread worries about tariff developments that have unsettled investor confidence in this asset class. Since this shift in sentiment, a whopping $7.2 billion has left digital asset investment products, essentially offsetting most of the inflows seen this year. At present, net YTD inflows are a modest $165 million.

Nonetheless, as the week progressed, there was a slight upward movement in asset values, partially fueled by a temporary reduction in tariffs initiated by former President Donald Trump. This upturn led to an increase in total assets under management (AuM), rising to $130 billion from its low of April 8th— marking the lowest point since early November 2024. This 8% growth in AuM indicates that investor interest is still sensitive to policy changes and the overall market conditions.

According to CoinShares Among digital assets, Bitcoin faced the most significant capital withdrawals last week, with $751 million pulled out. However, it still saw year-to-date inflows of $545 million. The report emphasizes that these withdrawals weren't localized to certain areas or companies but signified a broad, persistent trend of negative sentiment throughout the market. Even short-bitcoin experienced similar challenges, losing $4.6 million.

Ethereum ranked as the second most affected asset, suffering $37.6 million in outflows during the same timeframe. Other leading altcoins also felt the pinch: Solana saw $5.1 million withdrawn, Aave had $780,000 in losses, and Sui faced withdrawals of $580,000. 

On a more positive note, some smaller altcoins enjoyed slight inflows. XRP led this group with $3.5 million in fresh investments, while Ondo, Algorand, and Avalanche pulled in $460,000, $250,000, and $250,000 respectively. 

Bitcoin Posts Modest Weekly Gain Amid Market Fluctuations, Finishing the Week Above $84,000 

Throughout last week, Bitcoin showcased considerable price fluctuations, swinging between around $75,000 and $85,000. In spite of these ups and downs, BTC concluded the week with a small gain of roughly 2%, suggesting a slow recovery from a recent downturn attributed to geopolitical uncertainties.

At the time of writing, Bitcoin Currently trading at approximately $84,347, Bitcoin is down by 0.45% in the last 24 hours. The leading cryptocurrency reached an intraday peak of $85,393 while dipping to a low of $83,044 during this same timeframe. 

Looking at the bigger picture, the total valuation of the global cryptocurrency market currently stands at $2.68 trillion, reflecting a slight decline of 0.67% over the previous day. Conversely, the total trading volume across all cryptocurrencies has surged to $83.76 billion over the past day, marking an impressive 11.38% increase.