en.coinotag.com
- In a significant development in the market, Bitcoin
experienced a withdrawal of $33 million last week, indicating a notable shift towards profit realization in investor sentiment. - In particular, digital asset investment products saw a small outflow of $16 million after 11 consecutive weeks of inflow.
- Among the notable beneficiaries were Solana, Cardano, XRP, and Chainlink, which attracted inflows of $10.6 million, $3 million, $2.7 million, and $2 million, respectively.
As Bitcoin’s price started the week with a weak performance, reports indicate that institutional investors are exiting!
Withdrawal of Funds Seen in Bitcoin and Altcoin Products
In a significant development in the market, Bitcoin experienced a withdrawal of $33 million last week, indicating a notable shift towards profit realization in investor sentiment. Meanwhile, the latest report from CoinShares highlights that this trend primarily reflects more profit-taking rather than a broader sentiment shift towards the digital asset class.
In particular, digital asset investment products, after 11 consecutive weeks of inflow, saw a small outflow of $16 million, indicating a dynamic market landscape. CoinShares’ Digital Asset Fund Flows Weekly Report reveals that Bitcoin witnessed a significant $33 million outflow last week. Meanwhile, the report suggests that this trend is more a part of profit realization activities rather than a fundamental sentiment shift towards digital assets.
However, despite the significant Bitcoin outflow, overall trading activity remained strong, surpassing the year average with a weekly average of $3.6 billion, compared to the year-to-date average of $1.6 billion. Additionally, while Bitcoin faced significant outflows, altcoins resisted with $21 million in inflows. Notable beneficiaries included Solana, Cardano, XRP, and Chainlink, attracting inflows of $10.6 million, $3 million, $2.7 million, and $2 million, respectively. However, Ethereum and Avalanche experienced outflows of $4.4 million and $1 million, respectively.
Blockchain Stocks Continue Record Inflows
Amidst fluctuations in the cryptocurrency market, blockchain stocks continue to benefit from positive sentiment. Last week, these stocks witnessed significant inflows of $122 million, contributing to a record-breaking nine-week streak of $294 million.
This sustained interest indicates continued investor confidence in the overall blockchain and digital asset ecosystem. While coping with market profit realization dynamics, the resistance of altcoins and the enduring appeal of blockchain stocks stand out in this ever-changing landscape. Meanwhile, the recent outflow in the digital asset space is in line with the overall decline in the crypto space. At the time of writing, the global crypto market cap has dropped by over 2.85%, with the Bitcoin price also decreasing by 2.16% to $40,800.