Volumes on crypto investment products drop to 2-year low: CoinShares

Ethereum

On Oct 24, European cryptocurrency investment firm CoinShares published its “Digital Asset Fund Flows Report,” which revealed that digital asset investment products saw $5 million worth of cumulative outflows last week in a continuation of what it calls an “apathetic period” that began in September 2022. 

Most notably, investment product volumes dropped to $758 million during the week, the lowest since October 2020 and far below the weekly average of $7 billion around this time last year when crypto markets were in an uptrend. 

The report reveals that Bitcoin (BTC) investment products saw minor inflows of $4.6 million, marking the sixth consecutive weekly gain, while short-Bitcoin investment products saw outflows of $7.1 million.

Ether (ETH) investment products saw outflows for the third successive week totaling $2.5 million, bringing the total of outflows post-Merge to $11.5 million, just 0.2% of assets under management. XRP (XRP) saw inflows of $8 million. While that figure seems low, it’s reportedly close to the largest since the United States Securities and Exchange Commission’s lawsuit against Ripple began.

Related: Institutional crypto adoption requires robust analytics for money laundering

So far this year, Bitcoin funds have seen a net worth of $296.2 million worth of inflows, while Ether funds have seen a net worth of $371.2 million in outflows. The figures suggest that investment managers are opting for the relative stability and longer track record of Bitcoin during the bear market.

CoinShares’ data reveals that Sweden, Canada and the United States saw the most action, with outflows of $4.5 million, $1.9 million and $1.2 million, respectively; while Germany, Brazil and Switzerland all saw minor inflows.

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