• Coinshares digital asset management firm reports that a significant sour flow of institutional digital asset investment products was recorded last week. 

• Investors move with caution, favoring Polygon (MATIC) and Ethereum (ETH) as investment options, while Bitcoin records $10.9 million in weekly outflows. 

Europe’s largest digital asset investment and trading group Coinshares has shared reports that highlight the current state of cryptocurrency institutional investors and their decision-making processes this year.

In a report titled “Digital Asset Fund Flows Weekly Report” new data from Coinshares is revealing that a minor outflow was recorded for some institutional digital asset investment products last week.

The products in question might be recording the outflow as a result of the current volatility in the crypto market. On the opposite end, some other altcoins in the market were recording significant inflows around the same time period.

The digital asset management firm observed, as seen in its report, that “Digital asset investment products saw minor outflows totaling US$7m last week following a week of macro data that significantly beat expectations to the upside.”

Furthermore, Coinshares is acknowledging that cryptocurrency investors are becoming more cautious with their investment choices. Large institutional investors are showing more interest in Ethereum (ETH) and Polygon (MATIC). As of last week, investment into both altcoins was significantly high.

Investors seem to be more discerning this year, with select coins performing well, such as Ethereum with inflows of US$5.1m last week…10 altcoins saw inflows last week totaling US$4.8m.

Coinshares are acknowledged in the report.

$10.9 million was recorded as the total number of Bitcoin outflow last week.

In the cryptocurrency market, institutional investors are some of the most important figures for obvious reasons. Institutional players are known to hold for much longer and secure a larger amount of assets as opposed to retail traders.

institutional investors carry a lot of weight in the cryptocurrency market. it can be expected that Ethereum and Polygon have a great run this year as both assets are now being favored by the market’s biggest players.

The minor outflows, as Coinshares established, might have been due to the result of the increase in interest rates from the U.S. Federal Reserve.

Bitcoin investors, unfortunately, held the short end of the stick, as long and short Bitcoin positions in the market recorded outflows last week. Bitcoin’s total outflows are significantly higher than some other altcoins. In the Coinshares report, it was observed that a staggering $10.9 million were flowing out of Bitcoin products last week.

The focus was primarily Bitcoin, which saw outflows totaling US$10.9m, although there were also outflows from short-bitcoin investment products totaling US$3.5m. Multi-asset investment products saw outflows totaling US$2.4m last week, representing the 11th consecutive week of outflows.

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