Summer doldrums? Crypto volumes are down 55%, according to CoinShares
Crypto investment products registered minor weekly outflows last week as volumes plunged to their second-lowest levels of the year, signaling weak demand among institutional investors during the tail end of summer.
Outflows from digital asset investment products totaled $8.7 million in the week ending Sunday, CoinShares reported Monday. Bitcoin (BTC) investment products saw a third consecutive week of outflows totaling $15.3 million. Funds with direct exposure to Solana (SOL) also registered minor outflows totaling $1.4 million.
Meanwhile, Ether (ETH) and multi-asset investment products registered small weekly inflows of $2.9 million and $2.7 million, respectively.
Overall, crypto investment products registered $1 billion in weekly volumes, which is 55% below the yearly average.
CoinShares said most of the negative sentiment had been centered around Bitcoin, which tumbled last week after facing a stern rejection at $25,000. Bitcoin currently sits around $21,200, which is below its realized price, or the average price at which BTC’s circulating supply was last purchased.
Related: Over 200K BTC now stored in Bitcoin ETFs and other institutional products
Crypto’s strong correlation with traditional equities leaves the asset class exposed to further volatility ahead of the Federal Reserve’s annual Jackson Hole Summit in Wyoming later this week. While options traders see little cause for concern, Fed Chair Jerome Powell could reinforce the central bank’s policy expectations for the fall when he delivers his Jackson Hole address on Friday.
Look out for Jackson Hole! Here are 5 Bitcoin price triggers for this week. https://t.co/yE0t15DIGv pic.twitter.com/D1zsMKILZv
Large institutions offloaded $5.5 billion worth of BTC between May
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