Crypto Investment Products Experience $126,000,000 Outflows
Crypto investment products saw minor outflows totaling $126 million last week, according to a report by CoinShares. The outflow occurred as investors appeared to be hesitant in the face of stalled positive price momentum.
Despite a slight increase in overall volumes from $17 billion to $21 billion week-on-week, ETP/ETF activity dropped relative to the overall market, from 40% of total volumes on trusted exchanges over the last month to 31% last week.
Key points:
- The US saw the largest outflows, which totaled $145 million.
- Switzerland and Canada came next, with $5.7 million and $6 million in outflow, respectively.
- In Germany, investors saw recent price weakness as an opportunity, with $29 million in inflows.
- Although there were $110 million in Bitcoin withdrawals so far this month, overall inflows have been positive at $555 million.
- Ethereum suffered the most on a relative basis, with $29 million in outflows, marking its fifth consecutive week of outflows.
The regional breakdown of crypto outflows reveals that the United States led the way, with outflows totaling $145 million. Switzerland and Canada also experienced outflows on a smaller scale, with $5.7 million and $6 million, respectively.
Read more: UK Set To Introduce Comprehensive Crypto Regulation By July
In contrast, investors in Germany viewed the recent price weakness as an opportunity, resulting in inflows of $29 million.
Bitcoin saw $110 million outflow last week
Bitcoin, the world’s largest cryptocurrency by market capitalization, saw outflows of $110 million last week. However, it managed to retain positive inflows month-to-date, amounting to $555 million. Interestingly, short-bitcoin broke its three-week spell of outflows, with minor inflows of $1.7 million.
Ethereum suffered the most on a relative basis, with outflows of $29 million last week. This marks the fifth consecutive week of outflows for Ethereum, indicating a potentially bearish sentiment among investors.
Read more: Solana Developers Release Software Update To Alleviate Network Congestion
While Solana experienced outflows of $3.6 million last week, altcoins generally had a positive week. $4.9 million was pumped into Decentraland, a virtual reality platform running on the Ethereum blockchain.
Basic Attention Token, the native token of the privacy-focused Brave browser, also experienced inflows of $2.9 million. LIDO, a liquid staking solution for Ethereum, saw inflows of $1.8 million.
While some investors are taking a cautious approach due to the stalled price momentum, others are seizing the opportunity to invest in altcoins and lesser-known projects.
