CoinShares Reports Minor Digital Asset Fund Outflows, but Inflows for Bitcoin (BTC) Remain

Negative sentiment towards digital asset investment products has been on the rise over the past seven weeks, as indicated by the recent update from CoinShares. Although there have been minor outflows totaling $11.2 million, Bitcoin has seen inflows. This suggests that negative sentiment may be “on the turn.”

CoinShares reports a cooling off of digital asset investment product flows, with relatively small outflows of $11.2 million. In total, negative sentiment over the past seven weeks has amounted to $342 million. Despite the limited activity in flows, trading volumes have been significantly higher than average, reaching $2.8 billion for the week, which is 90% higher than the year-to-date average.

Polygon and Ethereum have experienced outflows of $8.6 million and $3.2 million, respectively. However, Solana has seen inflows for the ninth consecutive week, totaling $0.7 million.

CoinShares points out that the activity in crypto-asset investment product flows has shown signs of reduction, with outflows amounting to just over $11 million. The blog post highlights that the negative sentiment observed over the past seven weeks now adds up to a total of $342 million. Despite this, digital asset investment products have seen a net inflow of $165 million year-to-date. Investor flows in the market have been greatly influenced by regulatory hopes and concerns surrounding digital assets.

Last week, investor hopes for the approval of a spot Exchange-Traded Fund (ETF) in the United States were dashed by the announcement of a delay for all other spot ETF applications. Despite the relatively low activity in flows, trading volumes remained high, reaching $2.8 billion for the week, which is 90% above the year-to-date average.

Bitcoin has seen inflows totaling $3.8 million, while short bitcoin has seen outflows for the 19th consecutive week, amounting to $3.3 million. Total assets under management (AuM) have declined by 48% from this year’s peak.

Altcoins such as Polygon and Ethereum have seen outflows of $8.6 million and $3.2 million, respectively. On the other hand, Solana has seen inflows for the ninth consecutive week, suggesting that it is currently the most favored altcoin among investors, with year-to-date inflows amounting to $26 million.

Blockchain equities have also experienced outflows for the fourth consecutive week, totaling $25 million.

For more information and research, please visit CoinShares’ website. The complete detailed report can also be accessed there.

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