European digital asset fund manager CoinShares (Nasdaq Stockholm: CS) has released its digital asset fund flows Weekly report.
As noted in a blog post by the firm’s management, disappointment from SEC ETF decisions has impacted sentiment.
According to the update from CoinShares, digital asset investment products “saw outflows totaling US$55m.” They argue that this is in response to recent media highlighting that a decision by the US Securities & Exchange Commission in “allowing a US spot-based ETF is not imminent.”
Bitcoin saw outflows “totaling US$42m, reversing the inflows seen the prior week, while short-bitcoin saw outflows for almost the 17th consecutive week.”
Ethereum reportedly “saw US$9m outflows, while Polygon, Litecoin and Polkadot also saw outflows of US$0.9m, US$0.6m and US$0.5m respectively.”
As stated in the CoinShares report, crypto-asset investment products saw considerable outflows. The firm says that it believes this is in “reaction to recent media highlighting that a decision by the US Securities & Exchange Commission in allowing a US spot-based ETF is not imminent.”
As mentioned in a blog post by CoinShares, market volumes remain “well below average, primarily due to seasonal effects, leaving prices vulnerable to large trades.”
With the panic last week leading to a 10% decline in total assets under management (AuM), settling “at US$32.3bn at the end of last week.”
The outflows were broad “across product providers although regionally were focussed primarily on Canada and Germany which saw outflows of US$36m and US$11m respectively. Switzerland bucked the trend seeing minor inflows totaling US$3.5m.”
Bitcoin saw outflows “totaling US$42m, reversing the inflows seen the prior week, while short-bitcoin saw outflows for almost the 17th consecutive week (except US$2k inflows) totalling US$2.2m.”
The team at CoinShares added that this week “the flows were not just focussed on Bitcoin, with a broad selection of altcoins seeing outflows.”
Ethereum (ETH), the largest smart contract platform, “saw US$9m outflows, while Polygon, Litecoin (LTC) and Polkadot (DOT) saw outflows of US$0.9m, US$0.6m and US$0.5m respectively.”
Blockchain equities did “not escape the negative sentiment, seeing US$6m outflows last week.”
To access all CoinShares research check here.
To view the complete report, click here.
