Crypto investment products saw $360 million in outflows last week as investors reacted to Federal Reserve Chairman Jerome Powell’s cautious remarks on potential future interest rate cuts.
While the Fed cut rates on Wednesday, Powell’s statement that another cut in December was not expected, coupled with a lack of economic data due to the ongoing US government shutdown, has fueled market uncertainty.
Much of the selling pressure came from the US market, with $439 million in outflows, partly offset by modest inflows from Germany and Switzerland.
Bitcoin exchange-traded funds (Bitcoin ETFs) were the main contributors to the decline with $946 million in redemptions.
However, not all assets were affected. Solana (SOL) saw $421 million in inflows, the second largest on record, supported by strong interest in the newly launched US Solana ETF.
This brings Solana’s total inflows since the start of the year to $3.3 billion.
Ethereum (ETH) also saw inflows of $57.6 million, although daily activity data showed investor sentiment remained mixed.
Last week’s outflows came after the crypto market saw a massive inflow of $921 million the previous week, driven by weaker-than-expected US Consumer Price Index (CPI) data on October 24.
By Friday, the Solana spot ETF had seen back-to-back daily inflows, adding $44.48 million in total.
Still, SOL was trading around $166, down more than 9% in the past 24 hours and about 26% over the past 30 days.
