On May 15, European cryptocurrency investment firm CoinShares published its latest “Digital Asset Fund Flows Report,” which revealed that digital asset investment products experienced another week of consecutive outflows, with a total of $54 million exiting the market. This brings “the total outflow to US$200m, representing 0.6% of total assets under management (AuM),” CoinShares reported.
According to the report, Bitcoin (BTC) funds witnessed outflows of $38 million. Over the past four weeks, total BTC outflows amounted to $160 million, accounting for 80% of all outflows. Furthermore, when combining the outflows from short positions on Bitcoin, the total value of outflows related to this asset alone reached $201 million. These numbers strongly highlight that recent investor activity has been overwhelmingly focused on Bitcoin.
The report also noted that multi-asset investments experienced outflows of $7 million in the past week. However, there was a noteworthy development as inflows were observed across eight different altcoin assets, implying that investors are becoming “more adventurous and selective” in their investment choices.
A recent survey conducted by Bloomberg’s Markets Live Pulse indicates that in the event of a theoretical debt default in the United States, Bitcoin could emerge as one of the top three assets alongside gold and United States Treasurys. This suggests that appetite for Bitcoin as a “digital gold” could emerge if investors doubt Washington’s ability to avoid a default in the long run.