XRP, Solana, and Cardano buck the trend as investment products tied to Ethereum, Bitcoin record $1.44 billion in weekly outflows.
According to the latest CoinShares report, this marked the largest weekly outflow since March. Despite the downturn, ETP trading volumes surged to $38 billion, about 50% above this year’s average. This reflects heightened investor activity amid shifting U.S. monetary policy signals.
Bitcoin Faces Heavy Outflows
Specifically, investment products tied to Bitcoin led the market downturn, with $1 billion in outflows last week. Investor caution was amplified early in the week when fears about the Federal Reserve’s rate stance triggered withdrawals totaling $2 billion.
Although sentiment later improved, Bitcoin still ended the week deep in negative territory. Year-to-date, Bitcoin inflows represent just 11% of assets under management (AUM).
Ethereum Shows Stronger Resilience
Meanwhile, Ethereum stood out with a sharper mid-week recovery, limiting its weekly outflows to $440 million. ETH is fast emerging as the preferred institutional play, with $2.5 billion in inflows month-to-date, compared to Bitcoin’s $1 billion in net outflows. Ethereum’s year-to-date inflows now account for 26% of total AUM.
XRP, Solana Record Inflows
Outside the two market leaders, altcoins saw uneven demand. XRP-based investments attracted $25 million inflows for the week, bringing the month-to-date inflow to $173 million. The year-to-date inflow rose to $1.26 billion, with assets under management at $2.75 billion.
Solana investments also performed well, with $12 million in inflows last week. Month-to-date, Solana has attracted $211 million, with year-to-date inflows totaling $1.06 billion. Solana-based products now have an AUM of around $2.9 billion.
Cronos-based products saw $4.4 million in weekly inflows, bringing the year-to-date figure to $62 million and AUM to $92 million. Other crypto asset investments that recorded inflows last week included Cardano, Chainlink, and Litecoin.
On the other hand, Sui (-$12.9 million) and Toncoin (-$1.5 million) experienced outflows. Nevertheless, Sui’s year-to-date inflow remains strong at $121 million, with an AUM of $322 million.
Fed Policy Shifts Drive Market Volatility
The week’s outflows and late recovery were closely tied to U.S. monetary policy. Initial pessimism surrounding the Federal Reserve’s stance drove heavy selling. However, Fed Chair Jerome Powell’s Jackson Hole address sparked renewed inflows of $594 million toward the end of the week.
Regional Flow Breakdown
Regionally, the United States recorded the largest outflow for the week, with over $1.3 billion in withdrawals. Sweden followed distantly with $135.5 million in outflows, while Switzerland saw $11.8 million drained. Other regions, including Australia, Brazil, Canada, Hong Kong, and Germany, recorded positive flows for the week.
