Hold onto your digital hats, crypto enthusiasts, because the market's been on a bit of a bumpy ride! CoinShares has spilled the beans on a rough patch for crypto investment products, revealing a whopping $48 billion drop in total assets under management. Ouch!
Yes, the crypto world has been bleeding red for weeks, and it's no secret. Bitcoin and Ethereum, the big players in the game, have seen a mass exodus from their exchange-traded funds (ETFs) and products. Just last week, over $1.2 billion was pulled out across various countries, including the U.S., Switzerland, and Canada. Other digital assets weren't spared either, pushing the total outflow to a staggering $1.7 billion. To top it off, in the last five weeks, these negative vibes have led to over $6.4 billion being withdrawn.
CoinShares, the digital asset investment whiz, dropped a bombshell in their report: crypto investment products have been watching their cash flow out for 17 straight days. Bitcoin's taking the brunt of it, marking the longest streak of outflows since their records began back in 2015. It's a record no one wanted to break!
Zooming in on the U.S. spot Bitcoin ETF market, it alone saw over $980 million fly out the door, with big names like BlackRock, Grayscale, Fidelity, Ark Invest/21Shares, and WisdomTree feeling the pinch. BlackRock’s IBIT took the hardest hit with $383 million in outflows, and Fidelity’s FBTC wasn't far behind with $316 million. IBIT managed to attract cash for just one day out of five, while FBTC saw a mixed bag with three days of outflows.
From March 10 to 14, the only relief was a single day of inflows. Some funds were left high and dry with no inflows for a couple of days. The U.S. spot Ethereum ETF market hasn't fared any better, with continuous outflows since March 5. Last week alone, they lost $189 million. BlackRock’s ETHA and Fidelity’s FETH were the biggest losers.
While there were two rare days of inflows, they were mere drops in the ocean compared to the outflows. Bitcoin and Ethereum are in a tug-of-war to regain their former glory, with Bitcoin trying to bounce back to $90,000 and Ethereum aiming for $2,000. Hang in there, crypto fans! The market's a rollercoaster, but that's all part of the ride.
