Crypto Investment Products See a Drop in Weekly Outflows

The crypto market cap dropped below the $2 trillion level on Tuesday after a sharp dip in BTC and ETH. The bearish market sentiment, which started in November 2021, has wiped off almost $1 trillion worth of crypto market cap. Institutional investment also followed the retail trends in the last few weeks. However, the recent week saw a change.

The weekly digital asset fund flows report from CoinShares highlighted a drop in institutional outflows last week. Digital asset investment products witnessed outflows worth $73 million in the recent week, compared to $207 million during the first week of January 2022.

As expected, BTC investment products topped the list with weekly outflows totaling $55 million. ETH saw institutional outflows worth $30 million in the recent week. In total, almost $230 million worth of investment left Ethereum-related investment products during the last 6 weeks.

“Digital asset investment products saw outflows totaling a weekly record of US$73m, the 5th week of outflows with this run now totaling US$532m. This marks the sharpest outflows since 2018 when viewed proportionally as a percentage of total assets under management (AuM). However, on a daily basis, for the first time this year we saw inflows on Wednesday and Friday, suggesting the bearish sentiment is beginning to abate after recent positive price moves,” the report noted.

Solana

While major crypto-assets like BTC and ETH experienced selling pressure and significant outflows, digital asset Solana (SOL) saw inflows worth $5.4 million last week, the highest among all other digital currencies.

“Solana remains an investor favorite with inflows totaling US$5.4m last week and has only seen two individual weeks of outflows since August 2021. Blockchain equity investment products saw minor inflows last week of US$0.4m, seeing a mixture of flows amongst providers,” CoinShares added in the weekly report.

The crypto market cap dropped below the $2 trillion level on Tuesday after a sharp dip in BTC and ETH. The bearish market sentiment, which started in November 2021, has wiped off almost $1 trillion worth of crypto market cap. Institutional investment also followed the retail trends in the last few weeks. However, the recent week saw a change.

The weekly digital asset fund flows report from CoinShares highlighted a drop in institutional outflows last week. Digital asset investment products witnessed outflows worth $73 million in the recent week, compared to $207 million during the first week of January 2022.

As expected, BTC investment products topped the list with weekly outflows totaling $55 million. ETH saw institutional outflows worth $30 million in the recent week. In total, almost $230 million worth of investment left Ethereum-related investment products during the last 6 weeks.

“Digital asset investment products saw outflows totaling a weekly record of US$73m, the 5th week of outflows with this run now totaling US$532m. This marks the sharpest outflows since 2018 when viewed proportionally as a percentage of total assets under management (AuM). However, on a daily basis, for the first time this year we saw inflows on Wednesday and Friday, suggesting the bearish sentiment is beginning to abate after recent positive price moves,” the report noted.

Solana

While major crypto-assets like BTC and ETH experienced selling pressure and significant outflows, digital asset Solana (SOL) saw inflows worth $5.4 million last week, the highest among all other digital currencies.

“Solana remains an investor favorite with inflows totaling US$5.4m last week and has only seen two individual weeks of outflows since August 2021. Blockchain equity investment products saw minor inflows last week of US$0.4m, seeing a mixture of flows amongst providers,” CoinShares added in the weekly report.

Source: https://www.financemagnates.com/cryptocurrency/news/crypto-investment-products-see-a-drop-in-weekly-outflows/