File photo: Cryptocurrency representations of Bitcoin, Ethereum, Dogecoin, Ripple and Litecoin are located on a PC motherboard in this figure taken on June 29, 2021. Reuters / Daddy Big / Illustration
September 20, 2021
Gertrude Chavez – by Dreyfus
NEW YORK (Reuters) – Cryptocurrency investment products and funds have flown in for the fifth week in a row as sector market sentiment continues to improve, data from digital asset manager CoinShares said on Monday.
Cryptocurrency inflows were $41.6 million, bitcoin inflows were $15.3 million, and ether product inflows were $6.6 million for the week ended September 17th. The data showed that the influx was completely observed.
The inflow of digital currencies was still strong at $5.96 billion in 2021.
James Butterfil, an investment strategist at CoinShares, said:
“This suggests that some investors are taking advantage of the recent price drop and the continued rise in altcoin popularity,” he said.
According to the report, in only three out of the past 16 weeks, bitcoin has been plagued by negative sentiment from investor inflows. During the year, he said the total market share of assets under management fell from 81 per cent in January to just 67 per cent last Friday.
Overall, the annual inflow of bitcoin reached $4.2 billion.
Blockchain data provider Glassnode in its latest note on Monday acknowledged the current macroeconomic background characterized by increasing uncertainty in China’s credit market. However, even under these circumstances, “Bitcoin’s price action and on-chain investor reaction appear to be relatively strong.”
Glassnode believes that bitcoin forms a “unified trading range”.
Bitcoin hit a four-month high above $52,000 on September 6th but is now down 7.4% to $43,748.
Grayscale remains the largest crypto asset manager with an AUM of $43.2 billion, up from about $28.5 billion in mid-August to early August.
CoinShares, the second largest digital asset manager, had an AUM of $4.2 billion.
(Reporting by Gertrude Chavez-Dreyfus; Edited by Marguerita Choy)