In the latest weekly report from CoinShares, digital asset investment products underwent a significant capital outflow this week, amounting to a total value of $55 million.
Analysts, including James Butterfill, believe that the market’s response is tied to disappointment stemming from recent media reports indicating a delay by the U.S. Securities and Exchange Commission (SEC) in approving Bitcoin Spot ETF funds.
Bitcoin witnessed a reversal in cash flow from the previous week, registering an outflow of $42 million. Additionally, short positions on Bitcoin saw cash outflows for nearly the 17th consecutive week, except for small inflows totaling $2,000. Ethereum followed Bitcoin’s trend, experiencing an outflow of $9 million.
Altcoins also couldn’t escape this selling pressure. Tokens like Polygon, Litecoin, and Polkadot saw corresponding outflows of $0.9 million, $0.6 million, and $0.5 million, respectively. Outflows extended across various product providers, mainly focusing on Canada and Germany, with capital outflows of $35.9 million and $11 million, respectively.
Conversely, Switzerland and Australia reported modest inflows, amounting to $3.5 million and $0.1 million, respectively.
Outflow figures from the beginning of the month up to now reached $110 million for August. However, year-to-date figures show inflows totaling $345 million.
Total Assets Under Management (AuM) decreased by 10% due to last week’s panic sentiment, reaching $32.3 billion by the end of the week. The report emphasizes that market volumes remain below average due to seasonal influences, making prices susceptible to impact from significant trades.