Long-Bitcoin Logs Outflows Totaling $2.6M While ETH, SOL Record…
The cryptocurrency market has faced some of the toughest times in the year 2022. However, overall, the market has shown signs of improvement.
Bitcoin [BTC], in particular, has recovered, although the overall rally is much slower than expected. The same has been highlighted in the latest CoinShares report.
Not such a rare sight
The recent Digital Asset Fund Flows Weekly report on July 19 touched on various narratives related to the ongoing crypto market. One thing is still clear — “Inflows to short bitcoin continue, but lowest volumes since October 2020.”
Last week, digital asset investment products saw just $12 million in inflows. Unfortunately, this marked the third consecutive week of meager inflows.
Source: CoinShares
Here, the short investment products had the most activity, as they amounted to USD 15 million. However, long investment products witnessed outflows. This is further depicted in the table below.
Source: CoinShares
Long-Bitcoin saw outflows totaling $2.6 million, while total assets under management (AuM) rose 11.4% since the end of June to $17.8 billion.
Interestingly, investors are still adding to short Bitcoin positions, with inflows totaling $15 million last week, bringing inflows to a record four-week run totaling $88 million (61% of assets under management).
This sheds light on an important but gloomy scenario. New investors expected further price declines, while those who are now invested do not sell out of positions, believing that crypto prices are near the bottom.
The ‘everything’ scenario
Altcoins also painted a similar picture. Ethereum [ETH]the biggest of all, saw small outflows totaling $2.5 million, ending a three-week streak of inflows.
Although monthly flows are still positive at $6.6 million.
Other altcoins saw very little action, except for Solana [SOL] and XRP, with inflows of $500,000 and $300,000 respectively. On the other hand, multi-asset products rose above the rest with $5.5 million in inflows. In this regard, the CoinShares report noted,
“Multi-asset investment products, the stalwart during this bear market from a flow perspective, saw inflows totaling $2 million, bringing year-to-date inflows to $219 million, well above all other assets.”
Overall, investment product volume remained very low, totaling $1 billion during the week, compared to the weekly average of $2.4 billion. However, it can be safe to say that the “summer slump” is here.
