As the bear market continues, crypto investment products are experiencing last week their biggest outflows in three months. A new CoinShares report suggests that investors continue to feel bearish following the FTX crash.
On Nov. 28, digital asset investment firm CoinShares revealed in a new report that investors took $23 million out of the crypto market over the last week.
Inflows into crypto products were experienced only in short Bitcoin funds, which bet on the price of the coin going down. $9.2 million was put into such funds, according to the report.
As the negative sentiment continues from the previous week, institutional investors bet against crypto in record numbers.
According to CoinShares, the move by investors to cash out stems from the “fallout from FTX.” Crypto markets have been shocked after one of the biggest crypto exchanges lost billions of dollars of investors’ cash in a breakneck crash.
The FTX collapse followed after it became apparent that it used client money to make investment bets through Alameda Research, a trading firm founded by FTX’s ex-CEO Sam Bankman-Fried.
After this, most digital assets have dropped in price, and many crypto companies have crashed. The latest victim from the fallout is lender BlockFi, which recently admitted it was going under and laying off staff.
Further, the CoinShares report added that blockchain equities were also suffering, with $13 million in outflows over the last week.