Short Positions on Bitcoin Are at Record Going by Fund Inflows, CoinShares Reports

Short Positions on Bitcoin Are at Record Going by Fund Inflows, CoinShares Reports

Capital is flowing into brief bitcoin (BTC) funds at a report price, whereas common lengthy bitcoin funds proceed to see outflows, new knowledge from the crypto analysis and funding agency CoinShares exhibits.

According to CoinShares’ newest digital asset fund flows report, brief bitcoin funding funds – funds that rise in worth when bitcoin’s worth falls – noticed inflows of USD 18m final week, the biggest weekly influx ever recorded for the class. The inflows introduced the full belongings beneath administration (AUM) in brief bitcoin funds to USD 158m.

At the identical time, typical bitcoin funds that rise in worth because the bitcoin worth rises noticed outflows of USD 11m, the info confirmed. The outflows signify the 4th consecutive week of outflows for bitcoin funds, CoinShares mentioned.

Meanwhile, ethereum (ETH)-backed funds noticed the second-largest outflows final week, with USD 2.1m leaving the funds. Among different altcoin-backed funds, solana (SOL) and avalanche (AVAX) every noticed inflows of USD 0.5m.

Overall, crypto funding funds – each lengthy and brief – recorded inflows of USD 9.2m for the week, with brief bitcoin funds accounting for the overwhelming majority of the flows.

The general inflows final week mark an enchancment from two weeks in the past, when the sector noticed outflows of USD 27m. Back then, brief BTC funds additionally recorded inflows, whereas lengthy BTC and ETH funds noticed outflows.

Commenting on the big flows into brief bitcoin merchandise within the newest report, CoinShares mentioned it follows a “much more hawkish view” expressed by US Federal Reserve (Fed) chairman Jerome Powell through the Fed’s current assembly in Jackson Hole. The hawkish tone seems to have been “unexpected by some investors,” the report added.

1662551751 427 Short Positions on Bitcoin Are at Record Going by Fund
Source: CoinShares

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