Last week, crypto assets like Bitcoin and Ethereum managed to jump above key price levels. However, the recent spike was not enough to change market sentiment as institutional investors pulled out almost $63 million from digital asset products.
According to the weekly digital asset fund flows report by CoinShares, Ethereum remained the primary focus of outflows. Outflows from ETH products stood at around $61.6 million last week. Year-to-date outflows from Ethereum products now stand at $360 million, the highest among major crypto assets.
“Digital asset investment products saw outflows totaling US$63m, the 5th consecutive week of outflows when taking into consideration the negative sentiment inferred by last week’s inflow into short-bitcoin investment products. The outflows remain relatively small in size, totaling US$99m over the last 5 weeks, while volumes remain only 46% of this year’s average at US$1bn for the week. Despite the uptick in prices on Friday, it was the largest day of outflows. Regionally the outflows were focused on Canada and the US which saw outflows totaling US$60m and US$10m, respectively. While Europe was the contrarian with inflows totaling US$7m,” the report noted.
Institutional investors have pulled almost $13 million out of BTC investment products during the recent week. Crypto asset management firms now have more than $18 billion worth of BTC assets.
Ethereum
Amid the upcoming upgrade, Ethereum has remained one of the most volatile digital currencies in the last few days. The world’s second most valuable crypto asset touched a high of $1,780 and a low of $1,508 during the past week.
“Ethereum was the primary focus of the outflows, totaling US$62m last week, this comes despite the improved certainty of the Merge (expected to be on or around 15th September) and perhaps highlights a concern amongst investors that the event might not go as planned,” CoinShares added in the report.
