Digital Assets See $16m Outflows, Ending 11-Week Inflow Streak

Digital Assets See $16m Outflows, Ending 11-Week Inflow Streak
Table of Contents

In a surprising turn of events, the digital assets market experienced a $16 million outflow, marking an end to the 11-week inflow streak. The most recent report from CoinShares underscores a nuanced change in the investment dynamics of crypto assets. The total trading volume for the week reached $3.6 billion, which is considerably above the average of $1.6 billion for the year to date. 

Even with the recent withdrawal, this strong trading volume emphasizes the ongoing market interest. Despite the prospect of a Bitcoin ETF approval soon, blockchain equities, which serve as indirect Bitcoin investments, continue to attract favorable investor attention. These equities experienced significant inflows amounting to $122 million in the past week.

According to CoinShares, this surge raises the total for the past nine weeks to $294 million, representing the largest recorded streak of its kind. This strong interest in blockchain equities underscores the increasing acknowledgment of the enduring potential of blockchain technology, transcending the immediate volatility in the cryptocurrency market.

Altcoins Emerge Despite Digital Asset Market Outflow

Digital Assets See $16m Outflows, Ending 11-Week Inflow Streak

Bitcoin experienced the most significant impact, with outflows reaching $33 million. Even positions shorting Bitcoin, usually a safeguard against Bitcoin’s value, observed minor outflows amounting to US$0.3 million. Ethereum and Avalanche experienced minor setbacks, with outflows of US$4.4 million and US$1 million respectively.

In contrast to the overall outflow trend, altcoins surfaced as a positive development, recording inflows of $21 million. Solana was particularly notable, with inflows of $10.6 million, significantly surpassing all other projects. Cardano, XRP, and Chainlink also followed this upward trend, collectively drawing inflows of $3 million, $2.7 million, and $2 million, respectively.

In summary, the latest trends in digital asset investment depict a varied and vibrant market. Despite indications of prudent profit realization, the sustained high trading volumes and targeted inflows into specific assets and regions suggest an inherent belief in the enduring potential of the digital asset industry.


Follow us on Social Networks

Crypto Tutorials

Crypto Reviews