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Crypto Funds Log $414 Million Weekly Outflow as U.S. Bitcoin ETFs Turn Negative

Geopolitical tension with hotter inflation expectations drove a swing to safer assets.

Overview

  • Global digital-asset products saw $414 million leave last week, reducing assets under management to $129 billion, according to CoinShares.
  • U.S. spot Bitcoin ETFs posted $296 million in net withdrawals, led by a $225.5 million pullout from BlackRock’s IBIT on Friday.
  • Ether funds led selling with $222 million withdrawn, leaving year-to-date flows for Ether at a $273 million net loss.
  • Flows skewed to the U.S. with $445 million pulled, while Germany added $21.2 million and Canada put in $15.9 million.
  • Analysts linked the pullback to the Iran conflict, pricier oil and higher inflation expectations, with some now bracing for possible Fed rate hikes as soon as June.