Institutional Investments in Crypto Products See Third Consecutive Week of Outflows, Says CoinShares

Institutional investments in cryptocurrency products have taken a hit for the third consecutive week, according to the latest report from digital assets manager CoinShares. Last week, crypto investment products experienced a significant outflow of $435 million, marking the largest week of outflows since last month.

The report also highlighted a decrease in trading volumes for exchange-traded products (ETPs), which fell to $11.8 billion from $18 billion the previous week. Additionally, Bitcoin prices saw a 6% decline during this period.

While the United States saw $388 million in outflows, CoinShares pointed out that overall inflows for the year remain at a record high of $13.6 billion. The majority of the outflows were attributed to Grayscale, with $440 million leaving the platform, the lowest in nine weeks. In contrast, new issuers only saw $126 million in inflows last week, down from $254 million the week before.

Regional outflows were also observed in Germany and Canada, while Switzerland and Brazil experienced inflows of $4 million and $5 million, respectively. Leading cryptocurrencies like Bitcoin and Ethereum suffered outflows of $423 million and $38 million, while assets like Solana, Litecoin, and Chainlink enjoyed inflows of $7 million, $4 million, and $3 million, respectively.

Overall, the report provides insight into the shifting landscape of institutional investments in the cryptocurrency market, highlighting both challenges and opportunities for investors. Stay tuned for more updates on this evolving trend.