Investors withdrew $126 million from crypto derivatives over the week

Last month, the weekly inflow record was updated twice in a row

15.04.2024 - 15:25

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What’s new? At the end of last week, analysts at investment company CoinShares recorded outflows from cryptocurrency derivatives totaling $126 million. In general, in recent weeks, the flow of investment products has been unstable and does not demonstrate a clearly upward or downward trend. Thus, in early March, the weekly inflow twice in a row updated its all-time high at $2,7 and $2,9 billion, immediately after that the record was already set by the outflow: -$942 million. From March 25 to April 5, the results were again positive: $862 and $646 million.

CoinShares blog

What else is known? Regionally, the largest outflows from April 8 to April 12 were recorded in the United States ($145 million), with Switzerland and Canada seeing outflows of $5,7 million and $6 million, respectively. Investors in Germany perceived the recent price decline as a favorable opportunity, as the inflow amounted to $29 million, CoinShares notes.

Overall, analysts said investors are hesitant as the positive price momentum in the crypto market has stalled. Trading volumes rose from $17 billion to $21 billion over the week. However, activity in cryptocurrency-based exchange-traded products and funds (ETP/ETFs) declined compared to the market as a whole, from 40% of total volume on trusted exchanges over the past month to 31% last week, indicating investor caution.

Bitcoin-based products have withdrawn $110 million, but since the beginning of the month, a positive result of $555 million has been maintained. In relative terms, Ethereum has suffered the most: last week the outflow on derivatives based on it amounted to $29 million, which is the fifth week in a row with a negative result. Solana (3,6 million) also showed outflows.

VanEck and CoinShares question the possibility of approving ETH ETFs in May

In March, the SEC postponed the product’s decision date a second time; in total, the commission is entitled to three postponements

At the same time, investors’ interest was attracted by some other altcoins. Thus, Decentraland, Basic Attention Token, and LIDO received $4,9, $2,9, and $1,8 million, respectively.

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