A significant outflow of $2 billion from digital asset exchange-traded products (ETPs) occurred last week, marking the largest weekly withdrawal since February. Driven by uncertainty regarding US monetary policy and increased selling pressure from large crypto investors, these funds flowed out of Bitcoin ($1.38B), Ethereum ($689M), and into diversified strategies like multi-asset ETPs (+ $69M) and short Bitcoin positions (+ $18.1M). 🇺🇸 This comes on the heels of a three-week trend of withdrawals totaling US$3.2 billion, reducing total assets under management (AuM) to US$191 billion – a decline of 27% from early October’s US$264 billion. While investors in Switzerland and Hong Kong witnessed smaller outflows, US-based investors accounted for the majority of withdrawals at US$1.97 billion, representing a significant 97% of last week’s outflow. In contrast, German investors displayed a contrarian stance, investing more into ETPs despite the market downturn. Amid this volatile landscape, some investors seek safe haven strategies by pouring money into multi-asset ETPs and shorting Bitcoin for hedging purposes.