Crypto Funds Shed $4B Across Five-Week Negative Streak
Decrypt
by Akash GirimathFebruary 23, 2026
AI-Generated Deep Dive Summary
Crypto funds have experienced a significant decline over the past five weeks, with $4 billion shed across the streak. According to a recent CoinShares report, digital asset investment products saw net outflows of $288 million last week alone, marking the fifth consecutive week of losses. This downturn has been accompanied by a sharp drop in trading volumes, reaching $17 billion—the lowest since July 2025. The sell-off reflects widespread investor disinterest and macroeconomic uncertainty, particularly as Bitcoin's recent stabilization following its drop below $65,000 has failed to revive sentiment.
The U.S. continues to lead the outflows with $347 million, while European and Canadian investors are taking a contrarian approach, buying the dips. Switzerland, Canada, and Germany have seen inflows of $19.5 million, $16.8 million, and $16.2 million respectively. This regional divergence highlights differing investor sentiment, with some viewing the price weakness as an opportunity to accumulate. However, Bitcoin remains the primary driver of negative sentiment, suffering $215 million in outflows last week alone.
Despite the overall bearishness, short-Bitcoin products have seen renewed interest, attracting $5.5 million in inflows—the largest among any asset. This suggests that some traders are positioning for further downside moves. Ethereum also faced significant outflows of $36.5 million, while altcoins like XRP and Solana saw minor inflows, albeit insufficient to offset the broader exodus from the sector.
The sustained outflows and declining trading volumes underscore a growing investor apathy, with sidelined capital waiting for clearer catalyst
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Originally published on Decrypt on 2/23/2026