coindesk.com
Crypto funds last week suffered their largest outflow since January as investors withdrew money from bitcoin and Ethereum funds, CoinShares reported on April 11.
The $134 million in outflows marked the second worst week in the year for funds that manage digital asset investments, and represented a sharp turn after two straight weeks of heavy inflows.
Bitcoin-related products took the lion’s share of the outflows with $131.8 million of redemptions. Short bitcoin investment products, which bet on making profits when bitcoin’s price declines, saw inflows totaling $2 million, their largest inflow on record.
The reversal came after the price of bitcoin (BTC), the largest cryptocurrency by market capitalization, rose to $48,000 from $38,000 in only two weeks by early April.
“We believe price appreciation the previous week may have prompted investors to take profits,” the report added. Lower daily trading volumes ($2.3 billion) than the average also suggest that there isn’t significant stress among investors.
Funds focused on Ethereum (ETH) also saw $15.3 million in outflows, which brought year-to-date total outflows to $126 million.
Meanwhile, altcoin (excluding Ethereum) and multiple-asset funds stayed resilient and recorded inflows of $6 million and $5 million, respectively.
Breaking down the funds by assets, solana (SOL) led the way with $3.7 million in inflows, down from $8.2 million the week before, bringing its year-to-date inflows to $107 million.
Funds focused on cardano (ADA) saw $1 million in inflows in total, while $600,000 flowed into litecoin (LTC) funds.
Outflows were broad among providers as both European and America-based funds booked outflows, with American providers representing 61% of the outflows.
Funds managed by ProShares and ETC Group took the biggest hit with outflows of $64.5 million and $45.8 million, respectively.
Investment products that manage blockchain-related stocks in their portfolio remained strong and totalled $32 million in inflows.