Global crypto investment products have witnessed a significant shift with $147 million exiting the funds last week, according to CoinShares. This marks the end of an almost $2 billion three-week net inflow streak from key asset managers like BlackRock, Bitwise, and Grayscale.
James Butterfill, CoinShares Head of Research, stated that "higher than expected economic data last week, reducing the probabilities for significant rate cuts, are likely reasons for the weaker sentiment among investors."
Leading the outflows, bitcoin-based funds saw $159 million in net outflows, while short-bitcoin investment products attracted $2.8 million in net inflows. The U.S., Germany, and Hong Kong faced the largest negative flows, losing $209 million, $8.3 million, and $7.3 million, respectively. Canada and Switzerland, however, helped offset some losses with net inflows of $43 million and $34.9 million.
Despite lower volumes in the broader crypto market, trading volumes for global crypto investment products increased by 15% for the week, reaching $10 billion. Currently, bitcoin is trading at $63,595, having gained 2.6% over the past 24 hours, though it fell 8.5% to around $60,000 earlier last week.
Interestingly, multi-asset investment products have bucked the trend, adding $29.4 million in net inflows, marking their 16th consecutive week of positive flows, totaling $431 million. Butterfill noted that investors prefer diversified asset baskets.
The GMCI 30 index, which tracks the top 30 cryptocurrencies, gained 2.5% in the past 24 hours but is down 5% over the last week.
Disclaimer: This article is for informational purposes only and should not be considered as financial advice.
