As reported by CoinShares’ Digital Asset Fund Flows, cryptocurrency investment products saw small cash flows totaling $9.2 million last week, although most of the inflows were directed at bitcoin’s flagship cryptocurrency investment products.
Institutional investors are slowly turning their backs on BTC as its trading volume stays at multi-year lows totaling $915 million. CoinShares’ report details that the decline in cryptocurrency prices pushed total assets down to $27.9 billion, after starting the year at $64 billion.
The report found that Canada, Brazil, Switzerland, and Germany all saw money inflows, while negative sentiment came from the U.S., where cash flows totaled $800,000 and mostly poured into short-term Bitcoin investment products.
Products exposed to Solana received $500,000 flowing into the cash flow, while products exposed to XRP received $200,000. Cardano-based investment products received $100,000 in inflows, while multi-asset products received $3.3 million.
Blockchain data shows that most cryptocurrency investors have been holding their coins for the duration of the bear market, as 62% of addresses on the cryptocurrency network have not sold their assets in more than a year.
As CryptoGlobe reported, earlier this month, U.S. stocks and leading cryptocurrencies fell after a statement from New York President Fred and the Governor of the Bank of Estonia suggested that major central banks are far from controlling inflation.
John Williams, president and CEO of the Federal Reserve Bank of New York, said at an event hosted by the Wall Street Journal that he believes “there need to be real interest rates … above 0”.
Madis Müller, governor of Estonia’s central bank, said:
“Raising interest rates will increase the risk of a recession and is seen as a negative for risky assets like BTC.”
