Digital asset investment products shed $1.47 billion last week, marking the second consecutive week of outflows and the third-largest weekly withdrawal of 2026. The selloff came as geopolitical risk from Iran collided with rising bond yields and a softening equity market, according to CoinShares' latest report.
Bitcoin bore the brunt, recording $1.315 billion in outflows, the largest single-week withdrawal of the year, pulling year-to-date inflows down to $2.6 billion. Ethereum followed with $222.8 million in outflows, while blockchain equity ETFs lost $133 million. The US accounted for $1.425 billion of the total.
According to QCP Capital, the selloff was driven by the expiration of dealer long gamma in IBIT options, which had kept Bitcoin near $80,000 through May. With over $4 billion in contracts rolling off, Bitcoin broke below $78,000. The macro environment was unforgiving: US 10-year yields hit 4.62%, USD/JPY approached 160, and the market now sees a 50-60% chance of a Fed rate hike by January.
Despite the outflows, nine assets recorded inflows above $1 million, led by XRP at $31.8 million. Solana added $7.7 million, Near Protocol $9 million, and Sui $2.9 million. QCP Capital says crypto will likely remain in a grinding range until clearer tariff resolution or US-Iran headlines emerge. Key events this week include FOMC Minutes, NVIDIA earnings, and Flash PMIs.
Bitcoin currently trades near $82,000 as investors await the next macro catalyst.