Global crypto investment products faced a significant downturn last week, with $1.7 billion in net outflows, pushing year-to-date flows to a total of $1 billion in the red, according to CoinShares. The withdrawals were primarily driven by U.S.-listed products linked to Bitcoin and Ether, signaling a sharp decline in institutional investor sentiment. This is the second consecutive week of accelerating outflows, highlighting growing concerns among investors. Most of the outflows came from the United States, contributing $1.65 billion to the total. Meanwhile, Canada and Sweden saw smaller outflows of $37.3 million and $18.9 million, respectively. Bitcoin funds, particularly those managed by BlackRock, led the losses with $1.32 billion in withdrawals, while Ethereum products experienced $308 million in outflows. Other popular assets like XRP and Solana also faced significant redemptions. Interestingly, some products, such as short Bitcoin investment options, managed to attract $14.5 million in inflows as investors sought defensive positions amid falling prices. The overall withdrawal trend has negatively impacted assets under management, which have dropped by $73 billion since reaching a peak in October 2025. CoinShares' head of research, James Butterfill, linked the deteriorating sentiment to a mix of macroeconomic pressures, including a more hawkish U.S. Federal Reserve, ongoing whale selling related to crypto’s cyclical nature, and geopolitical instability. Over the past week, Bitcoin's price fell around 12%, while Ether dropped approximately 22%.