Crypto ETPs Experience $6.4 Billion Outflow Over Five Weeks
The cryptocurrency exchange-traded products (ETPs) market is experiencing significant outflows, marking the fifth consecutive week of withdrawals.
- Investors pulled $1.7 billion from crypto ETPs last week, totaling $6.4 billion in five weeks.
- Bitcoin ETPs accounted for $5.4 billion of these outflows.
- The current streak of 17 trading days of outflows is the longest since 2015.
- BTC ETPs had outflows of $978 million from March 10 to March 14.
- Ether ETPs saw $175 million in outflows; Solana-based products lost $2.2 million.
- XRP ETPs received $1.8 million in new investments.
- Year-to-date inflows into crypto ETPs are $912 million, with Bitcoin's inflows at $612 million.
Market Outlook
- Concerns grow over Bitcoin’s bull run potentially fading due to macroeconomic factors.
- Lower-than-expected US CPI data briefly improved sentiment, but inflation risks persist.
- High volatility continues as investors await interest rate decision cues.
- Bitcoin’s stochastic RSI recently printed a bullish cross, historically indicating price rebounds.
- Previous instances of this crossover resulted in average gains of 56%, with potential targets above $120,000 by mid-year.
- Institutional investors are increasing Bitcoin exposure, reflected in a rising 20-day beta to BTC.
