Bitcoin (BTC) and crypto investment funds recorded outflows of $423 million last week, marking the largest weekly outflows on record ‘by far’, according to data from the asset investment firm digital CoinShares shows.
According to the latest update from CoinShares, the major outflows were focused solely on BTC funds, with $453 million of capital leaving these funds. Funds backed by other digital assets such as Ethereum (ETH) and Cardano (ADA) saw inflows for the week.
The inflows into ETH funds came after relatively large outflows of $70 million the previous week. In the same week, BTC funds recorded inflows of $28 million.
The vast majority of bitcoin outflows in the latest report took place on June 17, but appeared in last week’s data due to “reporting lags,” CoinShares said.
Commenting on the notable outflows, the report states that “almost all year-to-date inflows” into bitcoin funds have now been wiped out, leaving total assets under management by bitcoin funds at $24.5 billion. This is the “lowest point since the start of 2021”, the report said.
According to the report, regionally, outflows came almost entirely from Canadian exchanges and one specific unnamed provider.
“The outflow occurred on June 17, but was reflected in last week’s numbers due to trade reporting delays, and is likely responsible for bitcoin’s decline to $17,760 over the weekend. Removing outflows of $493 million reveals that other providers saw total inflows totaling $70 million, underscoring highly polarized sentiment among digital asset investors,” the report authors said.
The $15.3 million inflow seen in the “Short Bitcoin” category is also notable in last week’s data. The influxes are due to the launch of the dubbed the ProShares Short Bitcoin Strategy ETF (BITI), the first bitcoin-short exchange-traded fund (ETF) in the United States.
The new ETF was launched on NYSE Arca exchange on June 21, but got off to a relatively slow start in terms of trading volume.
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