Global Digital Assets See $17M in Outflows

Flows reveal sentiment is divided between America and Europe.

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Head of Research and Investment Strategy
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Reviewed by: James Butterfill
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Edited by: James Butterfill

Takeaways

  • Digital asset investment products saw minor outflows last week totalling US17m.
  • Regionally the flows reveal that opinions are divided, with inflows totalling US$20m into European exchanges but outflows of US$36m from American exchanges.
  • Bitcoin bore the brunt of the outflows which totalled US$21m last week, this being the second consecutive week of outflows bringing month-to-date outflows to US$29m. Short-bitcoin saw minor inflows totalling US$2.6m.
  • Blockchain equities saw inflows totalling US$8m last week signifying improving sentiment.

 

 

Digital asset investment products saw minor outflows last week totalling US17m. It is difficult to discern if this is a meaningful change in sentiment given its small size although minor outflows were seen across a broad set of providers. It also comes at a time of low trading volume and a recovery in prices suggesting there could be an element of minor profit taking.

Regionally the flows reveal that opinions are divided, with inflows totalling US$20m into European exchanges but outflows of US$36m from American (North & South America) exchanges.

Bitcoin bore the brunt of the outflows which totalled US$21m last week, this being the second consecutive week of outflows bringing month-to-date outflows to US$29m. Short-bitcoin saw minor inflows totalling US$2.6m.

A broad set of altcoins saw inflows totalling US$3.9m last week, although there were no discernible outperformers with the exception of Uniswap which saw inflows totalling US$100k, while small, relative to its total assets under management of US$1.3m it was a significant 6.6%.

In contrast to direct digital assets, blockchain equities saw inflows totalling US$8m last week signifying improving sentiment. Although year-to-date inflows of US$15.5m signify tepid sentiment at the moment.

 

 

 

 

 

 

Contact James Butterfill at [email protected]

James Butterfill has over 19 years of experience in fund management, investment banking, economics and asset allocation, gained most recently as an investment strategist at CoinShares. Previously, he was head of research at ETF Securities, with prior experience as a multi-asset fund manager and investment strategist at Coutts & Co., HSBC & ING Barings. James is a regular media commentator, and frequently appears on Bloomberg TV, CNBC, BBC and other broadcast outlets. Investment Week awarded him best ETF Eesearch and best FX Research in 2016 and 2017, respectively. James is currently an investment strategist at CoinShares, writing research white papers on investment themes, identifying investment opportunities and helping investors understand the digital asset world.