Digital assets manager CoinShares says institutional crypto investment products were largely shorted by investors last week.
In its latest Digital Asset Fund Flows Weekly Report, CoinShares finds that institutional digital asset investment products suffered minor outflows last week, contrasted by major inflows into short investment products.
“Digital asset investment products saw minor outflows totaling US$2m. Although this masks broader negative sentiment as the largest inflows were into short investment products.”
Bitcoin (BTC) products took the heaviest hit of outflows at $11.7 million. Meanwhile, short-Bitcoin products enjoyed heavy inflows of $9.9 million. Short-BTC products have enjoyed the second highest year-to-date inflows, about $48 million to Bitcoin’s $146 million.
Coinshares says it has a potential reason for why institutional investors rushed to short-BTC products last week.
“Bitcoin saw outflows for the 3rd consecutive week totaling US$12m, while short-bitcoin saw inflows totaling US$10m, although this negative sentiment was solely from the US. We believe this reaction reflects nervousness amongst US investors prompted by the recent stronger than expected macro data releases, but also highlights its sensitivity to the regulatory crackdown in the US.”
Altcoins were a mixed bag of inflows and outflows. While Cardano (ADA), Solana (SOL) and Polygon (MATIC) institutional investment products all saw inflows of $0.4, $0.5 and $0.6 million, Ethereum (ETH), Litecoin (LTC), and multi-asset investment vehicles suffered outflows.Don't Miss a Beat – Subscribe to get crypto email alerts delivered directly to your inbox
Check Price Action
Follow us on Twitter, Facebook and Telegram
Surf The Daily Hodl Mix
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Featured Image: Shutterstock/agsandrew