The newest Weekly digital asset cash flow report by Coinshares has revealed a drastic reduction in weekly investment outflows in the crypto space.

According to the report, weekly outflows dropped to $7.2 million, and total outflows over the past three weeks were around $219 million.

Interest in investing in Bitcoin and Ethereum is waning

A cursory look at the data shows that investor interest in leading digital assets, Bitcoin (BTC) and ether (ETH, has dropped significantly.

BTC saw a meager inflow of $2.6 million for the week of April 18, and ETH saw outflows of around $17 million over the same period.

BTC’s total monthly outflows are $178 million, while Ethereum’s total year-to-date outflows are $169 million.

Outflows into crypto investment institutions continue

The data showed that outflows into crypto investment institutions such as greyscalePurpose investments, Coinshares XBT, etc.

Only ProShares was able to buck the trend as it recorded an inflow of $41 million. However, every other investment product has had more outflows than inflows.

At the top of that list was 3iQ with $27 million in outflows. ETC Group continues to see the highest outflows in April at $126.4 million.

Meanwhile, fewer investment products — just 11 — launched in the first quarter. In contrast, 24 new products were launched in the last quarter of 2021.

Investments flow into Ethereum competitors

According to the report, interest in altcoins is like Algorand, Solana, Terraand avalanche appears to be growing as they recorded a combined inflow of $3.5 million.

The rising interest reflects the growing popularity of these projects and their use cases. Per data from DappRadarSmart contract-enabled blockchains like Solana have a growing user base.

Orca, a decentralized exchange built on top of the blockchain alongside NFT marketplace Magic Eden, is currently one of the top 10 most used blockchain dapps over the past seven days, while OpenSea was the only Ethereum dapp in the top 10.

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