Institutional investors have significantly reduced their holdings in cryptocurrencies, pulling out nearly $2 billion from investment products during the latest week. This trend marks a significant shift after several months of sustained buying activity and continues a larger downward trend that has erased over $4.92 billion in cryptocurrency investment products since its inception.
CoinShares, which tracks institutional flow data, reported $1.94 billion in outflows from digital assets during the seven-day period. This marks the fourth consecutive week of divestment by these investors and brings the total accumulated outflow to $4.92 billion since the market began its recent decline. The figures highlight a major retreat from the crypto market, placing it among the largest sustained withdrawals since CoinShares started tracking institutional activity in 2018.
Bitcoin was hit hardest with $1.27 billion leaving investors’ portfolios. Ethereum products saw outflows of $589 million and Solana witnessed redemptions worth $156 million. However, XRP displayed a more positive trend, attracting $89.3 million in new investments.