Cryptocurrency investment products experienced nearly $5 billion in outflows over the past four weeks. However, inflows observed during the final days of last week have provided a small indication of improving investor sentiment.
According to a research report from CoinShares published on Monday, crypto exchange-traded products (ETPs) recorded $1.94 billion in outflows last week. This represents a slight decrease from the $2 billion exodus seen the week prior.
The cumulative outflows over the last four weeks have reached $4.9 billion, marking the third-largest outflow run on record. Historically, only the tariff-driven sell-off in March and the downturn in February 2018 were larger.
Despite the significant outflows, CoinShares highlighted "tentative signs of a turnaround." This observation is supported by $258 million in inflows recorded during the final trading days of the week, following seven consecutive days of redemptions.
XRP Funds Outperform Broader Market Slump
XRP investment products stood out as a rare positive performer amid the broader market downturn. XRP exchange-traded products (ETPs) saw inflows totaling $89.3 million last week, defying the general trend even as the XRP token experienced a 6.9% decline.
In contrast, Solana (SOL) ETPs experienced outflows of $156 million, with the SOL token falling by 3.5%, according to data from Cointelegraph.
Bitcoin (BTC) experienced the largest share of outflows, amounting to $1.27 billion. Ether (ETH) funds followed with $589 million in weekly outflows.
Smart Money Bets on XRP, Remains Bearish on Bitcoin
Analysis of the industry's most successful traders, identified as "smart money" on Nansen's blockchain intelligence platform, indicates a bet on the short-term appreciation of the XRP token.
In the past 24 hours, smart money traders added $10.4 million worth of cumulative leveraged long positions. This cohort is currently net long with $74 million, according to data from Nansen.
Conversely, smart money traders are maintaining bearish positions on Bitcoin, with cumulative net short positions totaling $325 million, indicating expectations of a further decline in the BTC price.