Bitcoin investments hit by the highest weekly outflow on record as investors pull $141 million, data show

Bitcoin investments hit by the highest weekly outflow on record as investors pull $141 million, data show

Jun. 8, 2021, 12:54 PM Bitcoin vs. Ethereum Alain Pitton/NurPhoto via Getty Images and Dado Ruvic/Reuters Investment in bitcoin products marked the largest weekly outflows on record in early June, said CoinShares. $141 million was pulled out of bitcoin investment products during the week ended June 7. Ether and XRP, meanwhile, logged weekly inflows. See more stories on Insider’s business page .
Investment in bitcoin products logged the largest weekly outflow on record, data from CoinShares showed, indicating investors in early June remain cautious toward the cryptocurrency whose price has been sliced in half since hitting a peak above $64,000 earlier this year.
$141 million was pulled from bitcoin products by institutional investors in the week ended June 7, according to the digital asset investing firm. Trading volume in bitcoin digital asset investment products also slumped, by 62% compared with last month.
In May, the cryptocurrency was hit with a massive selloff during which its market capitalization dropped below $1 trillion. On Tuesday, the market cap fell further, to around $587 billion, according to CoinGecko. Bitcoin has been hurt following regulatory threats from China and the US and a decision by Tesla to stop taking the digital currency as payment for its electric vehicles, drawing its price down from an all-time record high of $64,804.72 in April.
But “remaining the altcoin of choice for investors” was ether as it continued to see inflows into investment products, said CoinShares. Investment products for the token of the ethereum blockchain pulled in $33 million in weekly capital. Ethereum’s market share in the last week of May rose to nearly 27%, its highest point on record .
Also, XRP , the digital asset used in Ripple Labs’ payment network, logged $7 million in inflows, the largest amount since April.
For bitcoin, the $141 million in weekly outflows represent just 8.3% of the net inflows it has seen this year, CoinShares said. Institutional investors have pushed in $4.25 billion into bitcoin products during 2021.
Bitcoin on Tuesday dropped roughly 12% to trade below $32,000 as part of a wider rout in cryptocurrencies that erased about $200 billion off the crypto market. Read the original article on Business Insider

Read More…

Leave a Reply

Your email address will not be published. Required fields are marked *

two × 4 =