U.S. Funds See Major Asset Shift as Rally Stalls, $400 Million in Net Outflows

▲ Bitcoin (BTC)

Hundreds of millions of dollars flowed out of U.S. digital asset investment funds over the past week, putting a sharp brake on the market’s steep upward momentum.

According to cryptocurrency media outlet Decrypt on February 16 (local time), a total of $403 million in net outflows was recorded from U.S. digital asset investment products last week. A weekly report released by digital asset manager CoinShares showed that as Bitcoin (BTC) price gains slowed, investors moved to take profits in large numbers. The scale of the outflows completely reversed the inflow trend seen in recent weeks.

By asset, Bitcoin-related products led the decline with $421 million in outflows alone. Investors showed a more cautious stance on Bitcoin’s further upside potential, with a clear trend of capital withdrawal. Meanwhile, short Bitcoin products betting on a price decline recorded $5.3 million in inflows, suggesting growing pessimism in the market outlook.

Ethereum (ETH) posted net inflows of $26 million, contrasting with Bitcoin’s trend. This supports analysis that investors are turning their attention to relatively undervalued altcoins. Major altcoin products such as Solana (SOL) and Cardano (ADA) also maintained modest inflows, reflecting moves toward portfolio diversification.

Regionally, while the United States saw overwhelming outflows, some European countries including Canada and Germany continued to record inflows. The large-scale capital exodus from the U.S. market is interpreted as the combined result of fatigue following recent sharp gains and ongoing macroeconomic uncertainty. In terms of trading volume, weekly turnover of investment products declined compared to the previous week, indicating a growing wait-and-see attitude among market participants.

Balanced outflows were also observed in funds managed by top asset managers by assets under management, confirming a broad-based weakening of market sentiment. Digital asset market experts are closely watching whether this outflow represents a short-term correction or the beginning of a longer-term downtrend. Depending on upcoming economic data and policy direction, institutional capital flows may shift once again.

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