Bitcoin funds are still in decline as institutional sentiment remains bearish.
Investments in institutional Bitcoin products have continued to decline this past week.
In its July 26 Digital Asset Fund Flows report,
CoinShares notes institutional crypto products have experienced
outflows for the third consecutive week, with $28 million exiting the
sector during the week ending July 23. As such, the week saw a 170%
increase in outflows compared to the $10.4 million for the previous
seven days.
The findings revealed that Bitcoin-based funds saw the
largest outflows with $24 million, or 85% of combined outflows from
crypto products. Monthly outflows for BTC are now at $49 million,
although year-to-date flows remain positive at $4.1 billion. CoinShares
stated:
“Last week’s outflows suggest negative sentiment
still pervades the asset class despite more recent constructive comments
from key industry players.”
Ether products also saw outflows
of $7.3 million over the week, while multi-asset funds bucked the trend
with a net inflow totaling $3.1 million. The report added that
multi-asset funds are the only class of crypto investment products that
have experienced net inflows for every week of 2021 so far.
Despite
the downturn, leading crypto asset manager, Grayscale, recorded an
inflow of $2.5 million for the period. Its latest assets under
management bulletin reports total assets under management of $33.6
billion as of July 27.
Related: Institutional selling of crypto reaches longest streak since Feb 2018
CoinShares
concluded that investment product turnover remains low at $1.7 billion
for the week — comprising just 22% of May’s weekly average.
However, CoinShares’ data was recorded before Monday’s bullish market action that saw Bitcoin gain 15% in less than three hours.
source link : https://cointelegraph.com/news/institutions-continue-offloading-btc-exposure-despite-price-rebound
