Key Points
- Crypto investment products recorded $600 million in outflows last week, the largest amount since March 22.
- The outflows were entirely focused on Bitcoin.
CoinShares’ analyst James Butterfill noted in today’s report that crypto investment products recorded outflows of $600 million during the past week. This marked the largest amount of outflows since March 22.
According to the report, this was likely triggered by a “more hawkish-than-expected FOMC meeting,” prompting investors to scale back their exposure to fixed-supply assets.
According to the report, the outflows were entirely focused on Bitcoin which saw $621 million in outflows. The bearishness also prompted $1.8 million inflows into short Bitcoin.
Also, a broad selection of altcoins saw inflows led by Ethereum, LIDO and XRP.
In-depth details on crypto funds flows
Crypto investment products’ outflows are the biggest ones since March 22. This reportedly occurred under similar circumstances which involved a period of significant inflows followed by a FOMC meeting which led investors to scale back their exposure to fixed-supply assets.
The outflows and recent price sell-off saw the total assets under management fall from over $100 billion to $94 billion over the previous week.
Trading volumes are lower at $11 billion for the week compared to $22 billion weekly average this year. Crypto ETPs maintain a steady 31% of global trading volumes on trusted exchanges.
Grayscale saw $273 million in outflows, Ark saw $150 million in outflows, and Fidelity saw $146 million in outflows.
Regionally, the US saw most of the outflows totaling $565 million and the negative sentiment was also present in Canada, Switzerland, and Sweden.
The countries saw outflows of $15 million, $24 million, and $15 million respectively. Germany saw inflows of $17.4 million.
According to the same report, the outflows were entirely focused on Bitcoin, which saw $621 million in outflows. Short Bitcoin saw $1.8 million in inflows.
Ethereum, LIDO, and XRP received $13 million, $2 million, and $1 million respectively.
However, the other day, we reported according to HODL15Capital, despite the net negative week, June’s Bitcoin ETFs are still positive by 17,134 BTC worth over $1.12 billion.