Cryptocurrency investment products posted outflows last week after several weeks of significant inflows, according to crypto investment firm CoinShares.
In its latest Digital Asset Fund Flows Weekly Report, released on Oct. 7, CoinShares said that digital asset investment products saw $147 million in outflows during the week from Sept. 29 to Oct. 5.
The outflows followed inflows of nearly $2 billion in the previous three weeks, with crypto products hitting $1.2 billion in inflows in one week from Sept. 22 to Sept. 28.
CoinShares attributed last week’s outflows to stronger-than-expected economic data, which “reduced the probabilities for significant rate cuts” in the near future.
“Trading volumes were up marginally by 15% [...] for the week in ETP investment products, while we have seen lower volumes in broader crypto markets,” CoinShares’ head of research James Butterfill noted.
Multi-coin products see $29 million inflows, Bitcoin leads outflows
According to CoinShares, Bitcoin (BTC) investment products led trading activity last week, with investors offloading $159 million.
Products based on Ether (ETH), the second-largest cryptocurrency by market value, posted $28.9 million in outflows, following an ongoing negative trend since ETH exchange-traded funds launched in the United States in July.
Flows by assets (in millions of US dollars). Source: CoinShares
On the other hand, multi-asset investment products saw inflows of $29 million last week, marking their 16th consecutive week of inflows.
Related: US jobs report signals fewer rate cuts, still bullish for BTC: Grayscale
According to CoinShares, multi-asset products have totaled $431 million in the past 16 weeks, representing 10% of assets under management.
“Since June, multi-asset products have been a favorite among investors who prefer to invest in a diversified basket of assets rather than individual ones,” CoinShares’ Butterfill added.
Canada joins Switzerland in bullish trend
While the US led outflows with a $209 million sell-off, some countries, such as Canada and Switzerland, saw a bullish trend in crypto investment products last week.
According to CoinShares data, Canada and Switzerland saw inflows of $43 million and $35 million last week, respectively.
Flows by countries (in millions of dollars). Source: CoinShares
Switzerland is the second-largest investor in crypto products, with its year-to-date inflows amounting to $538 million as of Oct. 5. US-based products — the largest crypto investment products market, according to CoinShares — have seen $23.4 billion in inflows so far in 2024.
Canada, which recorded some bullish action last week, has had nearly $430 million in outflows in 2024.