Investors Flee from Digital Asset Investment Products

According to CoinShares, a total of $1.7 billion was lost in digital asset investment products tracked by the company, marking the fifth week of a historic bleed in the market.

Exchange-Traded Products Suffering Worst Stretch of Outflows on Record

Exchange-traded products holding Bitcoin, Ethereum, and Solana are now facing their worst stretch of outflows on record, totaling $6.4 billion since February 7, according to a report by CoinShares.

Bitcoin Funds Hit Hard by Trade Tensions and Inflation Concerns

As President Donald Trump’s tariffs continued to drive trade tensions and inflation concerns, Bitcoin funds were hit particularly hard, with investors yanking $978 million from Bitcoin funds last week as the asset’s price fell to a four-month low of $77,000.

CoinShares Head of Research Predicts Bottom for Bitcoin

Bitcoin’s price has since reclaimed $83,000, but “a lot of resistance” from last week’s low suggests more pain lies ahead, according to CoinShares Head of Research James Butterfill.

“I think we are close to the bottom,” Butterfill said. “It’s to say that’s happened just yet, but we might be close to peak bearishness.”

University of Michigan Survey Shows Consumer Sentiment Plunging

On Friday, the University of Michigan’s latest consumer survey showed sentiment plunging to its lowest level since November 2022 amid Trump’s erratic tariff approach.

Federal Reserve May Cut Interest Rates to Boost Crypto Prices

Butterfill suggested that deteriorating consumer sentiment in the U.S. may prompt the Federal Reserve to cut interest rates soon, buoying crypto prices as borrowing becomes cheaper.

Fear and Greed Index Shows Investors Moving from Extreme Fear to Fear

After tilting toward “Extreme Fear,” or a value of 20 last week, the Fear and Greed Index has since climbed back to “Fear,” or a value of 32, as of Monday morning Eastern.

Prediction Market Traders Foresee Optimism to Persist

Prediction market traders on MYRIAD foresee an 80% chance that optimism will persist, and the index will be above 30 on Tuesday.

Federal Reserve to Release Inflation Projections This Week

The U.S. central bank will hold its latest policy meeting this week, with officials widely expected to leave interest rates unchanged, but will release a series of updated projections touching on key metrics like employment and inflation.

Inflation Figures Come in Soft, but Fed’s Preferred Gauge Won’t Be Updated Until After Meeting

Last week’s inflation figures came in soft, as measured by the Consumer Price Index. However, the Fed’s preferred inflation gauge, the Personal Consumption Expenditures Index, won’t be updated until after the conclusion of the Fed’s meeting on Thursday.