Weekly crypto derivative outflows hit its highest since March

Inflows into spot BTC ETFs are gradually slowing down

29.04.2024 - 12:50

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3 min

What’s new? Experts of the investment company CoinShares for the third week in a row recorded an outflow of funds from cryptocurrency derivatives. From April 22 to April 26, it amounted to $435 million, which was the worst result since March. Cryptocurrency exchange-traded products (ETPs) fell from $18 billion to $11,8 billion, while the bitcoin exchange rate fell 5,6% to $62 244.

CoinShares report

What else is known? Regionally, outflows were predominantly concentrated in the United States, totaling $388 million. Despite this, YTD inflows remain at a record high of $13,6 billion.

Most of the outflows have come from investment firm Grayscale, which manages a spot bitcoin exchange-traded fund (ETF) with the ticker GBTC. The product has been facing outflows since converting from the bitcoin trust on January 11 this year, totaling $440 million last week. That said, the outflow is gradually slowing down, and the latest result was the lowest in nine weeks.

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At the same time, the inflow of funds into new bitcoin ETFs, which were also launched on January 11 and, unlike GBTC, showed positive results, is slowing down. Thus, the inflow from April 15 to April 19 amounted to $254 million, last week it fell to $126 million.

Negative investor sentiment was also recorded in Canada and Germany, where the outflow amounted to $32 and $16 million, respectively. At the same time, in Switzerland and Brazil, there was an inflow of $5 and $4 million.

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Overall, weekly outflows were centered solely on bitcoin and Ethereum-based products, with $423 million and $38 million, respectively. Meanwhile, inflows were seen in a wide range of altcoin basket-based products: $7 million.

Other inflows favorites such as Solana, Litecoin, and Chainlink continued to receive funds, with inflows of $4 million, $3 million, and $2,8 million last week, respectively, CoinShares analysts noted.

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