Shocking! Bitcoin investment products witness $453M outflows in just a week

Key Takeaways:

  • Bitcoin led the digital assets in weekly outflows last week.
  • Meanwhile, BTC might be a commodity, said SEC chair Gay Gensler.
Bitcoin led the digital assets outflows list last week
Bitcoin led the digital assets outflows list last week. Image from freepik

NEW DELHI (CoinChapter.com) — Bitcoin (BTC) investment products saw $453 million in outflows last week, the highest on record, as per the latest Coinshares “Digital Asset Fund Flows” report.

Overall, the net withdrawals totaled nearly $423 million between Jun 20 and Jun 24. Moreover, nearly all of them originated at Canadian exchanges, with investors dumping $487.5 million worth of digital assets products.

Also Read: Another villain in Bitcoin market misery: Treasury Inflation Protected Securities (TIPS).

The report noted that the outflows from the Canadian exchanges took place on Jun 17, but Coinshares included it in the Jun 20-24 report because of ‘trade reporting lags.’

Weekly digital asset outflows
Weekly digital asset outflows. Source: Coinshares report

Stripping out the US$493m outflows reveals that other providers saw aggregate inflows totalling US$70m, highlighting highly polarised sentiment amongst digital asset investors.

Coinshares reported

Bitcoin’s outflows on Jun 17 likely led to BTC prices declining below $18,000 that weekend.

Meanwhile, $70 million of inflows offset the outflows, with U.S.-based investors responsible for more than half ($41 million) of it.

“Bitcoin A Commodity” – Gary Gensler

U.S. Securities and Exchange Commission (SEC) Chairman Gary Gensler recently stated that Bitcoin was the only cryptocurrency he would classify as a commodity. The SEC chair was speaking to CNBC’s Jim Cramer on Squawk Box.

Gensler stated that U.S. regulators agreed on cryptocurrencies being a highly speculative asset class. Moreover, he stated that observing the crypto market has helped the SEC realize most people investing in cryptocurrencies hope for a return from their investments, similar to when they invest in securities.

Also Read: Bitcoin risks another massive selloff on recession fears, asserts analyst as BTC wobbles around $20K.

The SEC chairman reiterated his belief that several tokens in the market share “key attributes” with securities. However, Gensler stated Bitcoin and “some others” are similar to commodities.

Some, like Bitcoin, and that’s the only one I’m going to say because I’m not going to talk about any one of these tokens, but my predecessors and others have said they’re a commodity

Gary Gensler said

Meanwhile, the crypto community picked up on the fact that Gensler refrained from placing Ether in the commodities basket. However, the community received Gensler’s comments on Bitcoin positively.

Additionally, Blockchain Investment Group founder Eric Weiss noted that Gensler was the second SEC chairman to declare BTC a commodity. However, the news failed to help Bitcoin prices start an upside rally. The king crypto continues to struggle to remain above $21,000.

At the time of writing, BTC was trading at $20,980, up 1.4% on the day.

close
Bitcoin, Shocking! Bitcoin investment products witness $453M outflows in just a week

Subscribe Today
for our Weekly Newsletter

Free Weekly Crypto News without the spam.

Related Articles

Our Partners

SwapCoin.com RapidCoin.com ChangeNOW.com Paybis.com WestcoastNFT.com