Digital asset funds registered outflows for the 5th week in a row. Meanwhile, the space lost another $32 million in the past seven days. leading crypto, bitcoin (btc)dominated with an outflow of $33 million.
Bitcoin funds saw $33m outflow last week
It was another week of withdrawals in digital asset funds. This comes as industry experiences rise regulator Pressure. Completing the fifth consecutive week of pessimistic sentiment, digital asset investment funds recorded outflows of $32 million within the past week. This is according to the latest CoinShares Digital Asset Fund report.
The report noted that $232 million, accounting for 0.7% of total AUM (assets under management), exited the market since mid-April. Meanwhile, Belvedere continues to dominate crypto outflows, with $33M withdrawn from BTC funds within the past week.
Germany recorded the largest outflow, representing 73% (or $24M) of the overall figure. The US and Switzerland followed with $5M and $3.3M respectively. Modest figures emerged from Brazil and Canada at $1.3 million and $2.2 million, respectively.
Short-BTC products also saw outflows
Similarly, short-bitcoin products saw a modest outflow of $1.3 million. CoinShares said these investment products have seen outflows totaling $235 million over the past five weeks. It added that it is unclear whether both long and short products maintain coordinated negative sentiment.
Whereas Ethereum Products including other altcoins also recorded outflows of $1 million Litecoin And avalanche, had inflows of $0.3 million and $0.7 million, respectively. Remember, the last week of January saw a 6-month high inflows into the digital asset fund – $117M. It came in the form of early 2023 for the cryptocurrency market.
Bitcoin is ready for a bearish wave
Digital asset fund flow measures the movement of cash in and out of investments. In the meantime, they can be an influential indicator of how institutional players move their money. Inflows indicate optimism among investors, while outflows indicate investor fear of upcoming market trends.
In this context, the outflow of $232 million in the last five weeks indicates caution among institutional investors. The bitcoin sentiment is likely to convert into a bearish wave in the upcoming sessions. invez.com Shows that bitcoin was trading at $26,782.56, down 0.42% over the past day.
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