Outflows amounting to $39 million last week from digital asset investment products have pushed total assets under management (AUM) to their lowest point since February 2021.
Currently at $36.302 billion, AuM is down about 59% from its peak in November 2021, according to the latest CoinShares report. Per previous reports, a $102 million outflow was experienced a week ago, and the overall larger cryptocurrency can be attributed to the US Federal Reserve’s scathing rhetoric.
Despite prolonged negative sentiment, the latest report emphasized that year-on-year inflows still remain positive at $403 million.
Last week’s data also indicated a significant regional polarization of views. The exchanges in the US, Europe and Brazil actually saw inflows amounting to $79 million, $12 million and $12 million, respectively. Still, together they couldn’t compete with the $141 million outflow they experienced in Canada alone last week.
outflow may peak
The report noted that bitcoin-based investment products actually made gains of $2.8 million last week, thanks to weak prices. Monthly flows still remain positive at $46 million. In contrast, short bitcoin AUM reached an all-time high of $64 million early last week. However, the report underlined that the record outflow of $5.8 million since then indicates that negative sentiment may be peaking.
Meanwhile, Ethereum-based products continued with outflows for 11 consecutive weeks, this past week amounting to $70 million. Month-to-date outflows of $147 million have now increased year-to-date outflows to $459 million.
Other altcoins saw minor outflows including Tron, Cardano and Polkadot, with losses of $900,000, $400,000 and $300,000 respectively.
On the other hand, multi-asset investment products, which have proven to be the most resilient in terms of inflows this year, still managed $9 million in inflows last week.
According to the report, taking advantage of investor concerns over the merge for ETH2.0, Solana saw $700,000 inflows, bringing year-on-year inflows to $109 million.
