Minor Inflows For Cryptoasset Funds

Digital asset investment products saw inflows totaling $14.4 million last week, breaking the prior five-week run of outflows.

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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 inflows totaling $14.4 million last week, breaking the prior five-week run of outflows.
  • The inflows came later in the week during a period of significant price weakness, suggesting investors, at current price levels, are seeing this as a buying opportunity.
  • Total assets under management (AUM) are now $51 billion, the lowest since early August 2021, having fallen 41% from the $86 billion November 2021 peak.
  • Ethereum continues to see outflows, with $16 million of outflows last week.

 

 

 

Digital asset investment products saw inflows totalling $14.4 million last week, breaking the prior five-week run of outflows. The inflows came later in the week during a period of significant price weakness, suggesting investors, at current price levels, are seeing this as a buying opportunity. Total assets under management (AUM) are now at $51 billion, the lowest since early August 2021, having fallen 41% from the $86 billion November 2021 peak.

Bitcoin saw inflows totaling $1 4million last week, having suffered outflows of $317 million, representing 1% of AUM, in the prior five weeks.

Ethereum continues to see outflows, with $16 million of outflows last week. The current seven-week run of outflows now total $245 million, or 2% of AUM, highlighting that much of the recent bearishness among investors has been focused on Ethereum rather than Bitcoin.

Of the altcoins, Cardano, Polkadot and Solana saw inflows totaling $1.5 million, $1.5 million and $1.4 million, respectively.

Investors continue to add multi-asset (coin) investment products to positions, with $8 million last week.

 

 

 

 

 

 

 

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.