FOMC

Solana

Bitcoin

Digital asset investment products recorded a high outflow over the past week. It witnessed an outflow of $600 million marking the largest withdrawal since March 22, 2024. The outflow is linked more hawkish than expected <a href="https://news.todayq.com/bitcoin-bulls-move-135-mln-of-bitcoin-after-fomc-report-bullish-signal/" rel="noopener noreferrer nofollow">Federal Open Market Committee</a> (FOMC) meeting. This stance pushed investors to reduce their exposure to fixed supply assets. Fed is pushing high crypto outflow? 
The outflows heavily came from Bitcoin as bearish sentiment and also led to $1.8 million in inflows into short-Bitcoin products. This shows a defensive move by investors. In contrast, several altcoins managed to attract inflows, with Ethereum leading at $13 million. However, LIDO and XRP reported $2 million and $1 million inflows respectively.
A report suggests that this trend mirrors a similar situation from March 2024. At that time, a period of high inflows was followed by an unexpectedly hawkish FOMC meeting. This resulted in a retreat from fixed-supply assets.&nbsp;
The recent sell-off and outflows have caused total assets under management (AuM) in digital assets to fall from above $100 billion to $94 billion over the week.
Altcoins like Ethereum and BNB prices have also been affected by the outflow. ETH price dropped by 5% in the last 7 days, while, BNB price declined by 8% at the same time. However, Bitcoin price had plunged by 6% in the same period of time. BTC is trading at an average price of $65,708, at the press time. The biggest crypto is looking to regain the $66k price level now. Trading vol fluctuating 
Trading volumes have also been affected compared to a $22 billion weekly average this year. It remained lower at $11 billion for the week. This is still an increase from the $2 billion weekly volume seen last year.
The recent drawdown can be seen in the other major cryptos like XRP and Solana. Solana price slumped in 2024 after witnessing a huge 2023. SOL price is down by 18% in the last 90 days. It is trading at an average price of $143.42, at the press time. Its 24 hour trading volume is up by 68% to stand at $1.57 billion.
XRP is down by 5% in the last 30 days while struggling with legal complications.XRP is trading at an average price of $0.49, at the press time. Its 24 hour trading volume is up by 40% to stand at $1.15 billion.

Fed fear sparks $600M Crypto outflow, What’s next for Bitcoin?

Todayq News

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