Cryptocurrencies post 5th consecutive week of influx -CoinShares

NEW YORK, Sept.20 (Reuters) – Investment products and cryptocurrency funds posted entries for the fifth week in a row as market sentiment for the sector continued to improve, data showed on Monday from digital asset manager CoinShares.

Crypto entries were $ 41.6 million for the week ending September 17, with bitcoin getting the bulk of entries at $ 15.3 million and ethers at $ 6.6 million. The data showed that the entries were observed in all areas.

Digital currency inflows for 2021 still stood at $ 5.96 billion.

“This improvement in sentiment could be a seasonal phenomenon, but we are not seeing a commensurate increase in investment product volumes,” said James Butterfill, investment strategist at CoinShares.

“This suggests that some investors are taking advantage of recent low prices and the continued rise in popularity of alternative currencies,” he added.

Bitcoin has suffered the most from negative investor sentiment with entries in just the past three weeks, according to the report. During that year, its total market share of assets under management fell from 81% in January to just 67% last Friday, he added.

Overall, bitcoin inflows for the year amounted to $ 4.2 billion.

Blockchain data provider Glassnode, in its latest note on Monday, acknowledged the current macroeconomic backdrop characterized by growing uncertainties in Chinese credit markets. But he noted that even in the midst of this landscape, “bitcoin’s price action and on-chain investor responses appear relatively robust.”

Glassnode believes that bitcoin forms a “consolidation trading line”.

Bitcoin peaked nearly four months above $ 52,000 on September 6, but was currently down 7.4% to $ 43,748. Read more

Grayscale is still the largest crypto asset manager, with $ 43.2 billion in assets under management, up from around $ 28.5 billion around mid-August.

Assets under management of CoinShares, the second largest digital asset manager, stood at $ 4.2 billion.

Reporting by Gertrude Chavez-Dreyfuss Editing by Marguerita Choy

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