Bitcoin News Today: Global Crypto ETPs See $223M Outflow After 15-Week Inflow Streak Ends Following Fed Signals

Global crypto exchange-traded products (ETPs) recorded a $223 million outflow in the latest tracking period, marking the first withdrawal after a 15-week consecutive inflow streak. This shift came in the wake of the latest U.S. Federal Reserve (Fed) meeting, where the central bank's signals on monetary policy tempered investor optimism about future rate cuts, creating a bearish sentiment in the cryptocurrency market [1]. The outflow reflects profit-taking activity by investors who had previously accumulated positions during the bull run, now locking in gains amid uncertainties in the macroeconomic landscape [2].

The 15-week inflow streak had signified sustained demand for crypto ETPs, indicating a growing mainstream acceptance of digital assets as part of diversified investment portfolios. However, the Fed's decision to maintain a cautious stance on rate reductions disrupted this momentum. Investors, anticipating a prolonged high-interest environment, began to reassess riskier assets, including crypto-linked products, which tend to be more sensitive to liquidity and interest rate changes [2].

The latest outflow, though significant, does not necessarily indicate a long-term bearish trend for the crypto market. Instead, it highlights the increasing correlation between crypto assets and broader financial market conditions. As macroeconomic factors continue to dominate investor sentiment, movements in crypto ETPs are likely to remain volatile and influenced by Fed policy signals and global economic developments [1].

It is also worth noting that while the outflow ended the 15-week streak, the total assets under management in crypto ETPs remain elevated compared to earlier in the year. This suggests that the market has not seen a fundamental shift in investor interest but rather a recalibration based on updated expectations following the Fed’s latest communication [2].

Bitcoin products accounted for the bulk of last week’s outflows, with $404 million in withdrawals. Despite the pullback, some analysts believe Bitcoin’s next catalyst may arrive after the summer recess. In a research note published last Friday, Matrixport said Bitcoin could gain traction when the U.S. Congress reconvenes after Labor Day. “Fiscal uncertainty has historically been a powerful tailwind for hard assets, and Bitcoin remains front and center in the narrative,” the report said [3].

Despite outflows among global cryptocurrency funds, Ether (ETH) ETPs continued to attract investment, closing their 15th week of net positive inflows with $133 million in new commitments, even as the second half of the week saw a pullback. The report attributed the continuous Ether fund inflows to “robust positive sentiment for the asset.” Meanwhile, crypto funds focused on XRP, Solana, and Sui also ended the week in the green, with inflows of $31.2 million, $8.8 million, and $5.8 million, respectively [4].

Last Thursday, U.S. President Donald Trump signed an executive order imposing reciprocal import tariffs of 15% to 41% on goods from 68 countries, effective August 7. Despite sending a “chill through global markets,” cryptocurrency markets experienced a “recalibration” rather than a breakdown. The digital asset market remained firmly above $3.7 trillion, supported by structural flows, institutional confidence, and the promise of clear U.S. regulation. Analysts expect altcoin stability to gradually return as markets adjust to the new trade environment [5].

Source:

[1] Cointelegraph - [https://cointelegraph.com/news/crypto-funds-223m-outflows-fomc-15-week-winning-streak](https://cointelegraph.com/news/crypto-funds-223m-outflows-fomc-15-week-winning-streak)

[2] advfn.com - [https://mx.advfn.com/bolsa-de-valores/COIN/AMPUSD/crypto-news/96554139/crypto-funds-see-223m-outflow-ending-15-week-str](https://mx.advfn.com/bolsa-de-valores/COIN/AMPUSD/crypto-news/96554139/crypto-funds-see-223m-outflow-ending-15-week-str)

[3] Matrixport - [https://matrixport.io/research](https://matrixport.io/research)

[4] CoinShares - [https://www.coinshares.com](https://www.coinshares.com)

[5] Cointelegraph - [https://cointelegraph.com/news/trump-tariffs-crypto-market-stability](https://cointelegraph.com/news/trump-tariffs-crypto-market-stability)