Digital asset investment products showed early signs of stabilization last week as crypto outflows slowed sharply to $187 million, according to the latest CoinShares weekly report. This marks the third consecutive week of net withdrawals, but the significant deceleration in the pace of outflows is being interpreted as a potential signal that the market may be approaching a near-term bottom.
Bitcoin (BTC) remained the primary source of negative sentiment, with weekly outflows of $264.4 million. This extends its year-to-date outflows to $984 million. Notably, short Bitcoin products also recorded outflows of $11.6 million, suggesting a reduction in demand for bearish positioning.
In a stark contrast, several major altcoins attracted fresh investor capital, indicating a rotational strategy. XRP led the pack with $63.1 million in weekly inflows, bringing its year-to-date total to $109 million, making it the strongest-performing asset on a flows basis so far in 2025. Solana (SOL) and Ethereum (ETH) also saw inflows of $8.2 million and $5.3 million, respectively. Multi-asset products added $9.3 million.
Despite the net outflow, trading activity surged to record levels. Exchange-traded product (ETP) trading volumes hit $63.1 billion for the week, surpassing the previous high of $56.4 billion recorded in October 2024. This points to elevated investor engagement and volatility.
The total assets under management (AuM) across these investment products declined to $129.8 billion, the lowest level since March 2025, reflecting both price depreciation and net withdrawals. CoinShares analysts noted that while fund flows often move with prices, changes in the pace of flows have historically been more telling, frequently signaling potential inflection points in investor sentiment.
Flows also showed geographic divergence. European markets demonstrated relative strength, with Germany seeing inflows of $87.1 million and Switzerland $30.1 million. Canada ($21.4 million) and Brazil ($16.7 million) also recorded gains.
