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Digital Asset Fund Flows Weekly Report

Validated Individual Expert
  • Digital asset investment products saw outflows totalling US$30m last week, ending a 6 week run of inflows.
  • The outflows began the prior Friday (14th April) when Bitcoin reached the very psychological level of US$30,000, suggesting the most recent sell-off was a result of profit-taking, particularly in the absence of any macro-economic triggers.
  • Ethereum saw inflows totalling US$17m last week, suggesting there is increasing confidence amongst investors following the implementation of the Shapella.

Digital asset investment products saw outflows totalling US$30m last week, ending a 6 week run of inflows. The outflows began the prior Friday (14th April) when Bitcoin reached the very psychological level of US$30,000, suggesting the most recent sell-off was a result of profit-taking, particularly in the absence of any macro-economic triggers.

Regionally, the profit-taking was almost solely from North America, which saw outflows totalling US$54m. This was offset by the continued optimistic sentiment in Germany which saw inflows totalling US$29m.

The profit-taking was focussed on Bitcoin, which in the prior 4 weeks had seen a run of inflows totalling US$310m, but last week saw outflows totalling US$53m. Very minor inflows were seen in short-Bitcoin of US$1.5m.

Finally, some good news for Ethereum, which saw inflows totalling US$17m last week. These inflows suggest there is increasing confidence amongst investors following the successful implementation of the Shapella upgrade. Interestingly, the inflows were solely from Europe.

Polygon saw another week of inflows totalling US$1m with its total assets under management (AuM) now being the 4th largest after Solana which saw US$0.74m inflows last week.

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Read more: https://jbutterfill.medium.com/volume-128-digital-asset-fund-flows-weekly-report-ecaa1a72e7b8

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