The number of crypto funds under management has dropped to its lowest level since July 2021

November 4, 2022, a cryptocurrency wallet service provider in the Philippines, has teamed up with the Philippine Bankers Association (PBA).

The number of crypto funds under management has dropped to its lowest level since July 2021

Last week, outflow s from digital asset investment products, bringing their total assets under management (AUM) to $38 billion, the lowest level since July 2021. Bitcoin (BTC) was the major focus of withdrawals for the week, according to the latest edition of CoinShare’s weekly Digital Asset Fund Flows report, with a decrease of $154 million. The monies were removed during a stormy week of trading in which the price of Bitcoin fluctuated between $28,600 and $31,430.

Despite the large outflow, the month-to-date BTC flow for May is $187.1 million, and the year-to-date total is $307 million. On a more upbeat note, the multi-asset category of investment products managed to attract $9.7 million in inflows last week. This takes the entire yearly inflow into these products to $185 million, or 5.3 percent of total AUM. Increased inflows into multi-asset investment products, which are “safer relative to single line investment products during turbulent periods,” according to CoinShares, might be due to an increase in volatility. Only two weeks of outflows have occurred in these investment products so far in 2020.

With rises of $1 million apiece, Cardano (ADA) and Polkadot (DOT) lead the altcoin inflows, followed by $700,000 in Ripple (XRP) and $500,000 in Solana (SOL). Ethereum (ETH) has had the poorest year-to-date performance of all the assets reviewed, with $44 million in outflows in May, taking its year-to-date tally to $239 million.

According to cryptocurrency market intelligence firm Delphi Digital, the decline in interest in digital asset investment products comes amid a rising dollar, which has been “one of the most prominent macro variables pushing asset values over the previous six months.” The Dollar Index (DXY) has climbed 6.8% year so far, from 95 at the beginning of 2022 to 102 on May 23. This is the DXY’s fastest year-over-year movement in recent history, resulting in a break out of the seven-year range it had been trapped in.

Read more: Huobi Asset Management Launched Crypto Funds for New Ways to Invest in Cryptocurrencies

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