Last week, digital asset investment products saw modest inflows totaling $6 million, reflecting a mixed sentiment among investors. The week’s activity began with slight inflows; however, mid-week reports highlighted stronger-than-expected retail sales in the United States, which, according to CoinShares, may have triggered significant outflows amounting to $146 million.
The latest edition of CoinShares’ Digital Asset Fund Flows Weekly Report provided key insights into the fluctuations within the market. Bitcoin led the week’s activity with the most significant flows, although the mixed sentiment was evident in the intra-week movements, culminating in those modest outflows of $6 million. Notably, short Bitcoin products experienced outflows of $1.2 million, extending their trend of negative flows to a seventh consecutive week, totaling $36 million, or 40% of their assets.
Ethereum continued to face challenges, recording $26.7 million in outflows last week alone, pushing its total outflows over the past eight weeks to a daunting $772 million. Despite these outflows, the leading altcoin remains in a favorable position year-to-date, boasting net inflows of $215 million. Interestingly, SUI managed to attract a small inflow of $1.1 million during this turbulent period.
In contrast, XRP showcased stronger investor confidence with inflows of $37.7 million last week, positioning it as the third most successful asset for the year, with $214 million in year-to-date inflows. Multi-asset products also saw positive investor activity, with inflows of $3.1 million, while Solana and Cardano recorded smaller inflows of $0.3 million each.
The United States experienced the highest outflows, totaling $71 million, which contributed to a substantial monthly outflow of $995 million. This is in stark contrast to Europe and Canada, where positive investor sentiment was observed. Switzerland emerged as the leader in inflows, attracting $43.7 million, followed by Germany with $22.3 million. Canada recorded inflows of $9.4 million, while Sweden and Australia saw smaller amounts of $2.1 million and $1.2 million, respectively. Brazil had the least activity, with an inflow of only $0.7 million.
As digital asset investment products navigate these fluctuating trends, the mixed sentiment underscores the complexities facing investors in this evolving market landscape.
