1. Home
  2. Altcoins
  3. Institutional Investors Take Contrarian Positions Amid Crypto Rally As Markets See More Outflows: CoinShares
Institutional Investors Take Contrarian Positions Amid Crypto Rally As Markets See More Outflows: CoinShares

Institutional Investors Take Contrarian Positions Amid Crypto Rally As Markets See More Outflows: CoinShares

0

Source: Daily Hodle

Digital assets manager CoinShares says institutional crypto investment products suffered their sixth consecutive week of outflows last week.

In its latest Digital Asset Fund Flows Weekly Report, CoinShares finds that institutional crypto investment products suffered outflows of nearly $95 million last week despite a broader crypto market rally.

“Digital asset investment products saw outflows for the sixth consecutive week totaling US$95m, with the five-week total being US$406m, representing 1.2% of total assets under management (AuM).”

Source: CoinShares

CoinShares suggests the contrarian positions taken by institutions may be due to a liquidity necessity rather than a bearish market view.

“The outflows were in stark contrast to the broader market and suggest it was, in part, due to the need for liquidity rather than negative sentiment.”

Bitcoin (BTC) products took the heaviest hit of outflows at $112.8 million, and short-BTC products saw inflows.

“Conversely, despite inflows into short-bitcoin totaling a record US$35m last week, its AuM fell by 13% over the same period. It is evident this sentiment is contrarian relative to the rest of the crypto market, but it may be driven, in part, by the need for liquidity during this banking crisis, a similar situation was seen when the COVID panic first hit in March 2020.”

Altcoins were similarly a mixed bag. With the exception of Ethereum (ETH) suffering $12.7 million in outflows, Solana (SOL), Litecoin (LTC) and Polygon (MATIC) all enjoyed $0.2 million in inflows, respectively. XRP products enjoyed $0.4 million in inflows.

Don’t Miss a Beat – Subscribe to get crypto email alerts delivered directly to your inbox

Check Price Action

Follow us on Twitter, Facebook and Telegram

Surf The Daily Hodl Mix

Check Latest News Headlines

&nbsp

Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

Featured Image: Shutterstock/Scharfsinn

The post Institutional Investors Take Contrarian Positions Amid Crypto Rally As Markets See More Outflows: CoinShares appeared first on The Daily Hodl.

Go to Source
Author: Daily Hodl Staff