CoinShares Report Shows Major Outflows From Bitcoin Short Funds

Digital-asset investment products see $39 million in outflows last week, with total assets under management reaching lowest level since February 2021.

AccessTimeIconJun 21, 2022 at 8:04 p.m. UTC
Updated May 11, 2023 at 3:21 p.m. UTC
10 Years of Decentralizing the Future
May 29-31, 2024 - Austin, TexasThe biggest and most established global event for everything crypto, blockchain and Web3.Register Now

As the price of bitcoin (BTC) last week dropped to its lowest level since 2020, investors trimmed their positions in funds designed to profit from further declines in the cryptocurrency.

Investors redeemed a net $5.8 million from short bitcoin funds in the seven days through June 17, the crypto asset manager CoinShares wrote Monday in a report. (A "short" position in financial markets is a bet on a price decline.) At the beginning of the week, assets under management (AUM) in these funds had hit an all-time high of $64 million.

The retreat from the short bitcoin funds might be "suggesting negative sentiment is close to its peak," CoinShares said.

Overall, digital-asset investment products saw net outflows of $39 million last week, according to CoinShares. Total AUM dipped to $36.3 billion, the lowest since February 2021.

Underscoring the notion that some investors were buying the dip, bitcoin funds saw inflows totaling $28 million.

Funds focused on ether (ETH), the second-largest cryptocurrency, suffered an 11th straight week of outflows, partly driven by investor worries about the Ethereum merge. ETH outflows totaled $70 million last week and brought year-to-date outflows to $459 million.

Solana-focused funds may have benefited from ether doubts, however, seeing inflows of $700,000 last week and $109 million year-to-date.


Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. In November 2023, CoinDesk was acquired by the Bullish group, owner of Bullish, a regulated, digital assets exchange. The Bullish group is majority-owned by; both companies have interests in a variety of blockchain and digital asset businesses and significant holdings of digital assets, including bitcoin. CoinDesk operates as an independent subsidiary with an editorial committee to protect journalistic independence. CoinDesk employees, including journalists, may receive options in the Bullish group as part of their compensation.

Author placeholder image

Jimmy is a CoinDesk markets reporter.

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 to register and buy your pass now.