February 5, 2023

CoinShares: Institutional Investors Start Withdrawing Funds From Bitcoin Products

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1 min.

CoinShares: Institutional Investors Start Withdrawing Funds From Bitcoin Products

During the week, institutional investors were actively withdrawing funds from investment products to bitcoin. Prior to that, the funds showed a positive balance for seven weeks in a row.

Over the past week, from October 31 to November 4, frominvestors withdrew $13 million from investment trusts to bitcoin. One of the reasons was the decision of the Federal Open Market Committee of the US Federal Reserve, which raised the base rate by 75 points. If just a few weeks ago, funds for short bitcoin attracted investors, over the past few seven days, 22% of capitalization has been withdrawn from such products.

CoinShares: Institutional Investors Start Withdrawing Funds From Bitcoin Products

In general, over the past week, investors have withdrawn from$15.6 million of bitcoin assets. $13.2 million was withdrawn from bitcoin funds, $7.1 million from bitcoin fall funds. Other instruments showed an inflow of funds or remained at the same level (multi-currency funds). Instruments for investments in ETH turned out to be the leader - they raised $2.7 million. Instruments on XRP also perform well - investors' faith in the successful resolution of the dispute between Ripple and the SEC regulator added $1.1 million to these funds.

Looking at countries, the largest outflowshowed the USA ($20.6 million). Investors from Switzerland continue to invest in cryptocurrency funds - for the week the figure was $6.8 million, and since the beginning of the year, the inflow of funds has reached $598.1 million, and this is the best result.

Earlier, analysts at Messari reported that venture investments in the crypto-currency sector fell by 74% in a year.