Crypto Funds Saw Minor Outflows Last Week
Some $7 million flowed out of digital asset funds in the week through April 22.
Crypto funds suffered a third week of outflows as bitcoin stagnated.
Overall, digital-asset funds had $7 million in net outflows in the seven days through April 22, CoinShares reported Monday. Several funds saw huge outflows, including 3iQ’s $27 million and ETC Group’s $8 million, but ProShares’ $41.3 million inflow provided an offset.
Crypto funds suffered a combined $231 million of outflows over the two prior weeks.
Broken down by assets, bitcoin-focused funds saw minor net inflows of $2.6 million last week, but month-to-date outflows remain at $178 million.
The price of bitcoin (BTC), the largest cryptocurrency by market capitalization, has dropped below $40,000 to around $39,000 over the past week. It went up to as high as $42,978 on April 21 but quickly fell back to a monthly low at around $39,000.
Funds focused on Ethereum (ETH) saw $16.9 million in net outflows, less than the $27 million that flew out of the funds in the week before.
Most funds focusing on altcoins saw inflows last week. Avalanche-focused funds saw inflows of $1.8 million, solana-focused funds saw inflows of $0.8 million, and terra-focused funds saw inflows of $0.7 million.
The "short" bitcoin investment products – exchange-traded products providing an inverse or -1x return to the cryptocurrency's performance – saw $0.4 million inflows last week, partly offsetting last week’s $1.8 million outflows.
“The total number of investment product launches has cooled, with only 11 in Q1 2022 versus 24 in Q4 2021,” CoinShares wrote in the report. There have been more products focused on altcoins such as avalanche, tezos and terra.
Despite negative sentiment in the U.S. stock market, blockchain-focused equities saw minor inflows of $3 million last week.
The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.
Learn more about Consensus 2024, CoinDesk’s longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.