On-chain data reveals most top cryptocurrencies experienced net negative fund flows over the past week, contrasting sharply with inflows seen in lower-cap tokens and stablecoins.
Bitcoin led the outflows, while the stablecoin FDUSD surprisingly topped the inflow charts.
What Did Last Week’s Crypto Fund Flows Show?
Bitcoin saw a significant $165 million net outflow over the period, reflecting cautious sentiment toward the market leader. In stark contrast, stablecoin FDUSD recorded a net inflow of $170 million, leading all assets despite recent controversies surrounding its issuer.
Data indicates lower-cap tokens NEO and OM also registered notable inflows. This divergence highlights selective capital movement within the crypto market last week.
Related: Robert Kiyosaki: Bitcoin is the Answer as Financial Collapse and US Recession Begin with $6.4T Loss
How Did Price Action Align with Flows?
These fund flow trends corresponded with price action. Bitcoin tumbled mid-week from highs near $88,563 before finding support above the critical $80,000 level earlier, but has now plunged to its identified support zone trading near 75,000K, at press time.
Ethereum and Solana remained under bearish pressure, consistent with investor caution, although their charts show potential double-bottom formations suggesting possible trend reversals. Trading volumes for ETH and SOL were notably low last week.
Why Was the Large FDUSD Inflow Notable?
FDUSD’s strong inflow surprised many, given recent insolvency rumors surrounding issuer First Digital Trust (FDT) and public disputes with Tron founder Justin Sun. The substantial inflow suggests users either dismissed the concerns or FDT’s defense successfully restored confidence following a brief de-peg scare.
Related: FDT Insolvency Buzz, FDUSD Depeg Stoke Fears: Hong Kong Oversight Questioned
Overall, the crypto market condition remained relatively quiet entering the weekend, with minimal broad volatility despite the fund flow divergence. The data suggests investors await more substantial catalysts, potentially including outcomes from ongoing regulatory processes in the US and globally, before making decisive moves.
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