According to asset manager CoinShares, digital asset funding merchandise experienced additional week outflows this previous week as macro knowledge weighed on investor sentiment.
While weekly outflows from crypto-related products were only $2 million, the broader market sentiment was negative, as evidenced by large inflows into short-term investment products.
Bitcoin inflows have surpassed $10 million in a short period.
Funding products linked to the world’s largest cryptocurrency, Bitcoin, saw $12 million in outflows last week, the third week. Traders also bet big on the value of Bitcoin that week, with inflows into short bitcoin funds reaching $10 million.
According to CoinShares, the negative sentiment surrounding BTC value last week originated primarily in the United States.
“Opinions remain polarised, however, with the US seeing outflows totaling US$14m, where current macro data has raised fears amongst buyers that the US Federal Reserve (FED) will be extra hawkish than anticipated,” CoinShares head of analysis James Butterfill wrote.
As stated, the previous week was marked by the release of new financial data (the Producer Shopper Expenditure (CPE) index), indicating that rapid inflation was still a significant headwind.
The market, predictably, reacted negatively to the macro data, with Bitcoin falling to lows of $22,770 on the Bitstamp crypto exchange. Nonetheless, BTC has risen above $23,400 once more.