Bitcoin and Ethereum Products See Inflows as Solana-Based Investments Suffer Record Outflow

investment products experienced mixed results last week, receiving a total inflow of $30 million, with Solana products seeing record outflow.

Digital asset investment products saw mixed results last week, receiving a total net inflow of $30 million despite Solana products facing a record outflow, according to the latest CoinShares data.

Bitcoin investment products led the inflows with $42 million, followed by Ethereum-based products with $4.2 million.

However, Solana-based investment products faced their largest recorded outflow of $39 million, which is mainly attributed to a sharp drop in meme coin trading volumes, an area where Solana has largely dominated.

Broader market experienced a dip in weekly trading volumes, which fell by almost half to $7.6 billion, as macroeconomic data suggested that the Federal Reserve was unlikely to reduce interest rates by 50 basis points in September.

Diverging Provider Performance

As per CoinShares data, investment product providers experienced diverging performances, with established players losing ground to newer entrants. BlackRock's iShares ETFs led the week with significant inflows, totaling $147 million.

On the other hand, Grayscale Investments continued its downward trend, seeing $311 million in outflows during the week. This adds to their month-to-date (MTD) outflows of $1.12 billion, bringing year-to-date (YTD) outflows to a staggering $18.7 billion.

Other providers, such as Fidelity ETFs and 21Shares AG, showed mixed results. Fidelity gained $82 million in weekly inflows but reported MTD outflows of $148 million. On the other hand, 21Shares faced $48 million in outflows this week and a $40 billion outflow in its MTD performance.

Global Differences in Investor Sentiment

The geographical distribution of crypto fund flows also showed significant regional differences. The United States led in weekly inflows with $62 million, highlighting strong demand from U.S. investors despite MTD outflows of $244 million. Brazil and Canada followed with $7.2 million and $9.2 million weekly inflows, respectively.

Notably, Canada has registered YTD outflows of $443 million, though it recorded weekly and monthly positive flows of $9.2 million and $42.4 million, respectively.

Switzerland experienced the largest outflows this week at $29.7 million, with Hong Kong following at $14.3 million. Both countries continued to see MTD outflows despite positive YTD inflows for Switzerland. These regional trends underscore varying levels of confidence in different markets.