Crypto Funds $1.94B Outflows; BTC, ETH Drop as SOL Holds
Digital asset funds saw $1.94 billion in crypto outflows last week—the third-largest since 2018—driving four-week redemptions to $4.92 billion. Bitcoin led withdrawals with $1.27 billion, followed by Ethereum’s $589 million and Solana’s $156 million, while XRP bucked the trend with $89.3 million of inflows. U.S. investors accounted for 97% of crypto outflows, though Germany saw $13.2 million in inflows. Total assets under management (AUM) fell 2.9% last week, a 36% year-to-date decline. Despite $258 million in Friday inflows and strong spot‐ETF activity, sustained crypto outflows reflect uncertainty over U.S. monetary policy. Solana traded around $133.77, down 4.6%, yet held its $125–$130 support zone. Analysts say reclaiming $130 is key to flipping momentum, with resistance at $163 and $195, while a breakdown below $125 could test $110. Stability may set the stage for a rally toward $150–$160, and institutions may re-enter once volatility subsides.
Bearish
Large crypto outflows—$1.94 billion last week and $4.92 billion over four weeks—indicate sustained selling pressure on Bitcoin, Ethereum and broader market. AUM declines and investor rotation into select tokens (like XRP) reflect caution amid U.S. monetary policy uncertainty. While Solana’s ability to hold its $125–$130 support zone and robust spot ETF inflows may limit downside, the prevailing trend of heavy withdrawals and price drops suggests bearish sentiment in both short-term trading and broader market stability. A breakdown below key supports could exacerbate declines, though recovery hinges on regaining momentum above critical levels and institutional re-entry.