- Digital asset investment products saw outflows of $54M, marking three consecutive days of negative sentiment.
- Bitcoin leads the outflows with $32M, and short-Bitcoin investment products experience record outflows of $23M.
- Regardless of the negative sentiment, investment products still see significant interest, with Solana experiencing significant inflows.
Investors in digital assets have a transfer of sentiment as fund outflows elevated within the week ending May 7, 2023. Based on CoinShares’ latest digital asset fund flows weekly report, investment products saw outflows of $54 million, marking the 3rd consecutive week of negative sentiment.
Bitcoin was the main focus of investors, with outflows of $32 million. Germany and Canada saw the biggest outflows at $27 million and $20 million, correspondingly. Short-bitcoin saw the biggest weekly outflows on record, amounting to $23 million, indicating a possible bearish outlook for that cryptocurrency.
Altcoins and Blockchain Equities See Minimal Activity
However, altcoins saw minimal activity, with Ethereum investment products experiencing minor outflows of $2.3 million and Solana experiencing and enjoying the only significant inflows at $3.4 million, the 2nd-largest within the last 12 several weeks. Blockchain equities also saw significant outflows of $7.3 million, reflecting an income-taking sentiment despite recent positive cost performance within the sector.
Regardless of the negative sentiment towards digital assets, investment products still see significant interest, suggesting digital assets remain a practical investment chance. The report highlighted that volumes for that broader digital asset industry stay at half their year-to-date levels, while volumes in investment goods are 16% excellent. This means that although investor sentiment remains negative, there’s still significant curiosity about digital assets being an investment chance.
The report also noted that Bitcoin influences investor sentiment in digital asset markets. The cryptocurrency’s recent outflows, including record outflows from short-Bitcoin investment products, indicate a bearish outlook for that cryptocurrency. However, regardless of the negative sentiment, investment products still see significant interest, suggesting that digital assets remain a practical investment chance.
Investors searching to purchase digital assets must exercise caution and seek expert consultancy. The volatility from the digital asset market can result in significant gains or losses, which makes it crucial to possess a solid knowledge of the marketplace and also the risks involved.
The current outflows in digital asset investment products, specifically in Bitcoin and blockchain equities, indicate bearish sentiment. However, the eye in investment products shows that digital assets remain a practical investment chance, although carefully. Investors might need to exercise persistence and seek expert consultancy to navigate the volatility from the digital asset market.
Suggested For You Personally
Bitcoin Transaction Charges Skyrocket Above $30 Lighting Network to Save?
