A leading digital asset manager says crypto investment products experienced outflows over the last week for the first time in seven weeks.
According to the latest weekly CoinShares report, digital asset investment products suffered outflows of $110,000,000 last week.
CoinShares says that the North American outflows of $80 million are likely a response to US President Joe Biden’s executive order on crypto, though exact reasons are unclear.
“Digital asset investment products saw outflows totaling US$110m last week following a 7-week run of inflows. US$80m of the outflows derived from North America with the outflows beginning at the start of last week suggesting they are a response to the US Presidential Executive Order to study digital assets more deeply. Given there has been little price response and that outflows of US$30m were also seen in Europe, highlights the reasons are unclear. Regulatory concerns and geopolitics remain at the forefront of investors’ concerns for digital assets.”
Leading crypto by market cap Bitcoin (BTC) experienced the heaviest outflows, with $70 million leaving BTC investment products. In step with its market share, Ethereum (ETH) experienced the second-heaviest outflows, stopping the bleed at $51 million.
“Bitcoin saw outflows totaling US$70m last week off the back of low volumes… Ethereum, on a relative basis, saw the largest outflows last week, totaling US$51m…”
While digital assets Solana (SOL), XRP and Polkadot (DOT) saw outflows of $0.3 million, $0.7 million and $0.9 million respectively, altcoins Cardano (ADA) and Litecoin (LTC) each enjoyed inflows of $0.2 million.
CoinShares recorded a contrast between crypto asset investment products and multi-asset and blockchain equity investment products, which saw their fair share of capital inflows.
“Multi-asset (multi-coin) and blockchain equity investment products saw inflows totaling US$12m and US$4.1m last week and remain the most popular amongst investors…”
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