š CoinShares: Bitcoin leads the decline! US economic data drives $305 million outflow from crypto markets in the week
š Last week, the digital asset market saw $305 million in outflows, which was a common phenomenon across almost all providers and regions. CoinShares believes that this is because the US macroeconomic data was better than expected, which made the market feel that the Federal Reserve might not cut interest rates so quickly, and the rate cut might not be so large.
š The CoinShares report pointed out that Bitcoin was the main focus of this outflow, with $319 million in outflows from the Bitcoin market last week. At the same time, Bitcoin short investment products attracted a large amount of inflows for the second consecutive week, the highest level since March. Ethereum also experienced outflows, with an outflow of $5.7 million, while trading volume also declined.
š Despite the overall poor market sentiment, some altcoins such as Solana (SOL) bucked the trend and attracted $7.6 million in inflows. Binance Coin (BNB), Litecoin (LTC), and Cardano (ADA) also recorded some inflows.
šŗļø Regionally, the United States was the country with the largest outflow of funds, reaching $318 million. Germany and Sweden also saw outflows. Canada, on the other hand, saw the largest inflow of funds, followed by Switzerland and Brazil.
š¤ As the Fed's policy changes get closer, the digital asset market may react more sensitively to interest rate expectations. Investors are closely watching these macroeconomic data to predict future market movements.
Conclusion:
š Strong macroeconomic data in the United States led to an outflow of $305 million in funds from Bitcoin and other digital assets, showing the significant impact of traditional economic indicators on the cryptocurrency market.
š At the same time, the economic data that exceeded expectations reduced the possibility of the Fed's interest rate cuts, which in turn affected investors' interest in risky assets, including Bitcoin.
š This also shows that the correlation between the digital asset market and the traditional financial market is strengthening, and investors are paying more attention to macroeconomic factors.
š¬ Crypto assets have experienced capital outflows for two consecutive weeks. What do you think? Do you think US economic data and the Fedās policies are key influencing factors?Share your thoughts!
