CoinShares reported that capital inflows into crypto funds totaled $10.3 million over the past week, indicating continued investor hesitation.
According to CoinShares experts, the uncertainty of traders is confirmed by the volume of trading in investment products, which for the week amounted to $886 million, which is the lowest level since October 2020.
Most of Europe saw capital outflows last week, with the exception of Sweden, which saw a $16 million increase in receipts. The US saw a modest capital inflow of $7.7 million, while Germany saw an outflow of $9.1 million.
Bitcoin experienced its third week of marginal investment gains totaling $7.7 million. Investors continued to invest in short bitcoin positions, with a $2.1 million inflow last week.
Ethereum has been in demand by investors for the second week already, the last capital inflow amounted to $5.6 million. According to experts, the merger did not contribute to the bullish mood in the Ethereum market: in September, the outflow of funds amounted to $65 million.
Analysts believe that increased regulatory scrutiny and a strong US dollar were the likely culprits behind Ethereum’s successful transition to Proof of Stake. Short Ethereum positions showed a minor capital outflow totaling $0.9 million.
Analysts noted that last week there was widespread negative sentiment towards Ethereum forks on PoW with a $3.5 million outflow of funds. Polygon, Avalanche and Cardano suffered the most bearish sentiment with a total capital outflow of $0.9 million, $0.8 million and $0.5 million, respectively.
Recently, CryptoQuant analysts recorded a significant outflow of bitcoins from the wallets of cryptocurrency exchanges. According to experts, the demand for the first cryptocurrency is growing again among investors. This usually signals the return of the bullish trend to the market.
Source: Bits
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