Volume 190: Digital Asset Fund Flows Weekly Report
From CoinShares Research Blog by James Butterfill
Recent price weakness likely seen as a buying opportunity with US$441m inflows
- Digital asset investment products saw inflows totalling US$441m, with recent price weakness prompted by Mt Gox and the German Government selling pressure likely being seen as a buying opportunity.
- Bitcoin saw US$398m inflows but unusually represented just 90% of total inflows as investors chose to invest across a much broader set of altcoins.
- The improved sentiment has not been reflected in blockchain equities which saw a further US$8m outflows last week.
Digital asset investment products saw inflows totalling US$441m, with recent price weakness prompted by Mt Gox and the German Government selling pressure likely being seen as a buying opportunity. Volumes in Exchange Traded Products (ETPs) remained relatively low at US$7.9 billion for the week, reflecting the typical seasonal pattern of lower volumes in the summer months. This represents a 17% lower participation rate compared to the total market for trusted exchanges.
Regionally, the inflows were primarily the US, which saw US$384m, although opportunistic buying was seen across a broad set of countries, most notable were Hong Kong, Switzerland and Canada, seeing US$32m, US$24m and US$12m respectively. Germany being an outlier, seeing US$23m outflows.
Bitcoin saw US$398m inflows but unusually represented just 90% of total inflows as investors chose to invest across a much broader set of altcoins. Most notable of which was Solana, seeing US$16m last week, bringing year-to-date (YTD) inflows to US$57m, making it the best performing altcoin from a flows perspective. Ethereum sentiment seems to have turned, seeing US$10m inflows, but remains the only ETP to have seen net outflow YTD.
This sentiment hasn’t been reflected in blockchain equities which saw a further US$8m outflows last week bringing YTD outflows to US$556m.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
