Crypto News

Digital Asset Outflows Surge Amid Market Uncertainty

Digital asset investment products have seen their first outflow of funds in four weeks, totaling $528 million, according to CoinShares.

This trend is attributed to the looming US recession, geopolitical tensions, and widespread market liquidation. Bitcoin and Ethereum funds were hit hardest, with outflows of $400 million and $146 million, respectively.

From July 29 to August 2, the Ethereum spot ETF experienced a net outflow of $169 million. Grayscale’s ETF ETHE saw a significant outflow of $603 million, pushing its historical net outflow to $2.12 billion. Conversely, BlackRock’s ETF ETHA had an inflow of $271 million, bringing its total net inflow to $713 million.

In the past ten days, Jump Trading has moved $231 million worth of ETH to centralized exchanges (CEXs). Since July 25, Jump Trading has:
– Redeemed 83,091 wstETH ($341 million) into 97,600 stETH.
– Unstaked 86,059 stETH ($274 million) from Lido Finance.
– Deposited 72,213 ETH ($231 million) to various CEXs, including Binance, OKX, Bybit, Coinbase, and Gateio.

Currently, Jump Trading holds approximately 37,600 wstETH ($128 million), 21,000 ETH ($61.5 million), and 11,500 stETH ($33.5 million) still in the unstaking process. Recently, Jump Trading moved an additional 17,576 ETH ($46.78 million) to CEXs within the past 24 hours.

Justin Sun Suffers Losses As Ethereum Drops By Over 20% 

Amidst this market turmoil, Justin Sun has incurred significant losses as Ethereum plummeted by 20%. Since February 8, 2024, Sun has accumulated 377,590 ETH (estimated cost: $1.15 billion) through three wallets. Despite ETH trading well below his average buying price of $3,051, Sun has not yet faced liquidation.

This scenario underscores the volatility and risks inherent in the digital asset market, with significant outflows and major investors like Justin Sun taking substantial hits. As market conditions remain uncertain, the focus will likely be on how these developments influence future trading and investment strategies.

Disclosure: This is not trading or investment advice. Always do your research before buying any cryptocurrency or investing in any services.

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