Crypto investment products have seen a continuing trend of outflows, marking the third consecutive week with a total of $30 million withdrawn, notably with Ethereum experiencing a significant loss of $61 million.
CoinShares, a leading digital asset firm, disclosed these figures in a recent report, highlighting contrasting fortunes for Bitcoin (BTC) and Ethereum (ETH) over the past week. While Bitcoin recorded inflows, Ethereum, the second-largest cryptocurrency, faced substantial outflows.
Bitcoin-related exchange-traded products (ETPs) attracted $10 million in inflows according to CoinShares data, a notable improvement compared to the previous period which saw outflows amounting to $630 million. This surge brings the total assets under management (AUM) across all Bitcoin ETPs to an impressive $67.57 billion.
In addition to Bitcoin, other digital assets also saw positive netflows last week. Multi-asset ETPs garnered $18 million, while specific altcoin-related ETPs like Solana ($1.6 million), Litecoin ($1.4 million), Chainlink ($600,000), and XRP ($300,000) also recorded gains.
Conversely, Ethereum-related ETPs saw their largest outflow since August 2022, totaling $61 million. This downturn follows a two-week period where Ethereum’s outflows reached $119 million, positioning ETH as the worst-performing asset in terms of net flows year-to-date. The total AUM for Ethereum ETPs now stands at $14.35 billion.
Market attention is now focused on the SEC’s pending approval of S-1 documents related to multiple spot Ethereum exchange-traded funds (ETFs). Analysts like Bloomberg’s Eric Balchunas and Consensys’ Jimmy Ragosa have projected potential approval by July 2, 2024, although the outcome remains uncertain.
The report also highlights regional trends in net flows. The United States, Brazil, and Australia saw inflows of $43 million, $7.6 million, and $2.9 million, respectively. Conversely, negative market sentiments led to significant outflows in Germany ($29 million), Hong Kong ($23 million), Canada ($14 million), and Switzerland ($13 million).
In terms of providers, Grayscale’s Bitcoin Trust ETF led outflows with $153 million, followed by 21Shares AG and CoinShares’ XBT with $29 million and $6 million, respectively. In contrast, inflows were noted for BlackRock’s Bitcoin ETF ($84 million), ARK21Shares ETF ($27 million), Bitwise ($15 million), and Fidelity ETFs ($13 million).
*Disclaimer:* This article serves informational purposes only and should not be construed as financial advice. The opinions expressed herein are solely those of the author and do not necessarily reflect The Crypto Basic’s stance. Readers are advised to conduct their own research before making investment decisions, as The Crypto Basic assumes no responsibility for financial losses incurred.