Crypto Funds See Large Outflows as Investors Lose Confidence in the Market: Bitfinex

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While the crypto market records capital outflows, stablecoins are seeing increased adoption.

The 70th edition of a weekly report by cryptocurrency exchange Bitfinex revealed that digital asset funds are seeing large outflows as investors lose confidence in the market.

According to the paper, crypto funds have experienced the most significant outflows since March, as the U.S. Securities and Exchange Commission continues to delay the long-awaited spot Bitcoin exchange-traded funds .Between the third and last week of August, crypto funds saw cumulative outflows of $179 million, with Bitcoin funds leading with $149 million.

For altcoin funds, Ethereum saw outflows of $17 million, while XRP and Litecoin recorded inflows of $0.5 million and $0.44 million as investor interest in them grew. The 18-week streak of outflows has drained 89% of the total assets under management dedicated to crypto investments. Trading volumes for the investment funds have also declined to $1.3 billion, marking a 16% decline from the yearly average.

 

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