Outflows from digital asset investment products amounting to $39 million last week have pushed total assets under management (AuM) to their lowest point since Feb 2021.
Currently at $36.302 billion, AuM is down some 59% from its peak in Nov 2021, according to the latest report from CoinShares. The $102 million in outflows experienced the week prior, and larger crypto winter overall, could be attributed to hawkish rhetoric from the U.S. Federal Reserve, according to the previous report.
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Despite the prolonged negative sentiment, the latest report emphasized that year-to-date flows still remain positive at $403 million.
Last week’s data also indicated a significant regional polarization of views. Exchanges in the U.S., Europe and Brazil actually saw inflows amounting to $79 million, $12 million and $12 million respectively. Yet, together they could not compete with the $141 million in outflows experienced in Canada alone last week.
Outflows may have peaked
Bitcoin-based investment products actually saw gains of $28 million last week, which the report said was due to weak prices. Month-to-date flows still remain positive at $46 million. Conversely, short bitcoin AuM peaked to an all-time-high of $64 million towards the beginning of last week. However, the report underscored that record outflows of $5.8 million since then indicates negative sentiment may be close to peaking.
Meanwhile, Ethereum-based products continued with 11 straight weeks of outflows, this past week amounting to $70 million. Month-to-date outflows of $147 million have now propped up year-to-date outflows to $459 million.
Other altcoins saw minor outflows, including Tron, Cardano and Polkadot, losing $900,000, $400,000 and $300,000 respectively.
On the other hand, multi-asset investment products, which have proven the most resilient in terms of inflows this year, still managed inflows of $9 million last week.
Benefitting from investor concerns over the Merge for ETH2.0, according to the report, Solana saw inflows of $700,000, bringing year-to-date inflows to $109 million.
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