The crypto market saw a $17.7 billion decline in the value of exchange-traded products (ETPs) in December.
Outflows from digital asset funds were primarily driven by cooling enthusiasm and market reactions to the Federal Reserve's decision to ease the federal funds rate.
While foreign markets experienced significant outflows, the US market saw inflows of $567 million, highlighting regional differences in investor sentiment.
Bitcoin emerged as the top performer with $375 million in inflows, despite its price decline, while the ETF industry celebrated a record-breaking year with $1.6 trillion in inflows.