Crypto investment products saw a lukewarm performance last week, with $30 million in inflows, according to CoinShares’ weekly report.
Trading volume for these products also dropped by nearly 50% from the previous week, reaching $7.6 billion.
James Butterfill, Head of Research at CoinShares, attributed these numbers to the market’s response to recent macroeconomic data suggesting that the Fed may not cut interest rates by 50 basis points in September.
Solana Records Significant Outflows
Bitcoin saw inflows of $42 million, regaining dominance. However, month-to-date flow remains negative at $320 million.
Ethereum continued to see modest inflows, adding $4.2 million, bringing its monthly total to nearly $166 million.
Multi-asset products experienced positive momentum with $21 million in inflows. Other altcoins like XRP also reported gains.
Solana experienced significant outflows with $39 million being pulled out, attributed to declining network fundamentals and memecoin trading. Solana’s price fell by 6% to $141 over the past week.
Short Bitcoin products saw outflows of almost $1 million, marking a second consecutive week of decline, indicating ongoing optimism about Bitcoin’s short-term potential.
BlackRock Surpasses Grayscale
Butterfill pointed out that though there were modest inflows, established ETP providers like Grayscale were losing market share to newer entrants like BlackRock.
Grayscale reported outflows exceeding $300 million last week, with month-to-date flows in negative territory surpassing $1 billion, and total assets under management dropping to $20.5 billion.
Newcomers like BlackRock iShares and Fidelity’s FBTC saw strong inflows, with BlackRock’s ETF receiving $147 million last week and reaching an AUM of $21.677 billion, the sector’s highest.
