Crypto funds saw the biggest week of outflows in three months as negative sentiment pervades digital-asset markets following the collapse of Sam Bankman-Fried’s FTX exchange and contagion to other firms.

Outflows for crypto investment products totaled $23 million, the highest amount in 12 weeks and a reversal from a two-week streak of inflows, according to a report by CoinShares on Monday.

Investors had scooped up shares in digital-asset funds as crypto prices tanked in the weeks after FTX’s meltdown, but as prices stabilized last week, the trend appears to have reversed.

The headline figure for outflows is even more bearish than it looks, since the week saw some $9.2 million of inflows into “short bitcoin” funds, or those designed to profit from further price declines in the largest cryptocurrency.

The outflows are still small compared with a spate of some $200 million of redemptions earlier this year, after the bankruptcy of the crypto lender Celsius.

(By Helene Braun)