CoinShares’ weekly fund flow report shows that institutional investors are moving away from Solana and 4 altcoins in the week that Bitcoin saw record entry.
Institutional money flow focused on short Bitcoin products
This week, crypto investment products saw inflows totaling $44 million. The fact that most of the flow is into shorts represents very mixed sentiment among investors. According to CoinShares’ report, money flowing into shorts this week accounted for 75% of total inflows. Institutional investors prefer to take a counter position due to the events around FTX. This shows that sentiment in crypto investment products is extremely negative. Total Assets Under Management (AuM) is currently at $22 billion, the lowest point in the last 2 years. In the overall picture, the last two weeks have witnessed the largest flow of funds since the beginning of the year.
Institutional money moves away from Solana and these 4 altcoins
The report shows that this week, Bitcoin has raised a total of $14 million in funds. But when offset by inflows into short investment products, net flows were minus $4.3 million. However, altcoin investment products were largely negative. Ethereum saw the largest inflow in short Ethereum investment products, with a total of $14 million on record. It has seen a series of exits in altcoins, totaling $6 million. The summary of the weekly report is as follows:
- Bitcoin (BTC) +14.3 million dollars
- Ethereum (ETH) -800 thousand dollars
- Binance – $600,000
- Short Bitcoin -18.4 million dollars
- Litecoin and Tron stable from last week
- Ripple (XRP) -$1.4 million
- Solana (SOL) sees biggest fund outflow with $3.3 million
- Polygon (MATIC) -200 thousand dollars
Entries and exits by country
Regionally, inflows of short investment products are coming in from both the US and Europe. However, some short products were out. This points to a divergence of opinion among investors as to whether the market has reached the lowest levels.
Solana experienced the biggest fund outflow of the week
This week, Bitcoin saw a total of $14 million in inflows. When offset by inflows into short investment products, net flows were minus $4.3 million. AuM on Short-Bitcoin is currently at $173 million and is close to its $186 million peak. Ethereum saw small outflows totaling $0.8 million, despite seeing the largest inflow on record in short Ethereum investment products totaling $14 million. This negative sentiment was most likely the result of renewed uncertainty about the Shanghai update, which would allow the withdrawal of staking funds, and the ETH funds hacked from FTX to be worth approximately $280 million.
Finally, a string of exits for a total of $6 million has been seen in altcoins, primarily Solana, XRP, Binance, and Polygon. In the report of the first week of November, which we quoted as Kriptokoin.com, Solana was one of the altcoins that lost the least funds.
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