CoinShares: Investors Buy Bitcoin Despite Bearish Moods

Article Reading Time:
2 minutes.

Analysts at CoinShares say total assets under management are at their lowest level since February 2021 amid negative market sentiment.

According to a new weekly reportCoinShares, outflows from crypto funds amounted to $39 million. Total assets under management (AuM) are now at their lowest level since February 2021 at $36 billion, down 59% from the November 2021 peak. However, despite the negative sentiment, investment flows into cryptocurrencies since the beginning of the year remain positive – $403 million.

There has been an outflow in recent weeksexclusively from Canadian exchanges ($141 million), while the total inflow to US exchanges amounted to $79 million, and to exchanges in Europe and Brazil - $12 million each. The authors of the report claim that last week the inflow into Bitcoin amounted to $28 million, while the monthly figure reaches $46 million. Probably, many investors buy Bitcoin at low prices for the long term in the hope of asset growth after the crypto winter.

However, at the beginning of last weekThe number of orders to sell Bitcoin reached a record high of $64 million. At the same time, there was a record outflow of capital totaling $5.8 million, which suggests that negative sentiment among investors is entering a peak phase. Multi-asset investment products, the most resilient investment products, saw $9 million in capital inflows last week.

Ethereum continues to lose capital – last yearThe second-largest cryptocurrency has seen $70 million in outflows this week, up from $459 million year-to-date. Solana appears to be benefiting from investor concerns about the ETH2 merger, with inflows into the cryptocurrency this week of $0.7 million and $109 year-to-date. million

Recall that last week Bitcoincontinued to fall against the backdrop of a decline in the traditional stock market and accelerated inflation. BTC broke through the December 2020 low, pulling ETH and other cryptocurrencies with it.