- Investment flows into digital asset products have reached $0.53 billion for the sixth week in a row.
- Bitcoin saw inflows of $85 million last week, while short positions saw outflows of $2.6 million.
- Institutional investors are once more exhibiting interest in digital asset funds, but the price of cryptocurrencies is now under pressure due to macroeconomic factors.
For the sixth week in a row, investment flows into digital asset products have surpassed $0.53 billion, or 1.6% of all assets under management (AuM). Last week, they totaled $81 million. With a total of $474 million, July’s monthly inflows were the highest so far this year, almost making up for June’s total outflows of $481 million.
The majority of inflows came from the North American region, with the US and Canada contributing $15 million and $67 million, respectively. Brazil and Sweden also had modest outflows.
Last week, Bitcoin witnessed inflows of $85 million while short-Bitcoin had outflows of $2.6 million. This was the first week of outflows following a five-week streak of inflows during the recent bear market.
Unusually, multi-asset investment products experienced withdrawals of $3.7m for the second week in a row, indicating investors are becoming more selective in their investments.
With year-to-date inflows totaling $114m, Solana has remained the investor favorite for this year despite small inflows of $1.5m. Last week, Polkadot also experienced inflows totaling $0.4m.
Also note that even though institutional investors are once again showing interest in digital asset funds, macroeconomic reasons are currently exerting pressure on the price of cryptocurrencies.
The weekly digital asset flow report from CoinShares, which was released on July 25, indicates that there was an influx of about $30 million the previous week from that.Even while this sum is rather insignificant in the larger scheme of things, it raises the monthly total to $394 million and breaks the recent pattern of outflows.