Investors trim investments in Bitcoin funds after Fed meeting

Outflows from cryptocurrency investment products from October 29 to November 4 totaled $15.6 million, versus inflows of $6.1 million a week earlier, according to CoinShares analysts.

Investors have shown a lack of enthusiasm over the past eight weeks, the analysts noted.

On November 2, the US Federal Reserve raised the target range for the federal funds rate by 75 basis points to 3.75–4.00%.

There were outflows of $13.2 million from traditional Bitcoin funds, versus a nearly identical inflow a week earlier.

From products that allow short exposure to Bitcoin, $7.1 million was pulled. Over the last three weeks, the figure has reached $28 million.

Inflows into Ethereum funds totaled $2.7 million. Previously, there had been negative momentum for four weeks.

Among products based on other altcoins, XRP-based structures stood out (+$1.1 million). Analysts linked the inflow to rising confidence in Ripple’s success in its battle with the SEC over the token’s status.

Back in October, Galaxy Digital founder Mike Novogratz suggested that the bear market would last another two to six months.

Earlier, Glassnode analysts forecast a consolidation of Bitcoin in the range $16,500–$21,100.

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