- According to data from CoinShares, the trading volume among institutional investors for crypto funds fell by one billion dollars the week of August 14-19.
- The trading volume presented a decrease of 55 percent of the average trading volume of this 2022.
- This figure is the second lowest reported in this 2022.
The world of digital assets has, like many other industries, high and low points. Also, some digital currencies tend to perform better while others not so much.
Recently Coin Shares reported that trading volume among institutional investors for crypto funds saw a $1 billion drop in the week 22 of the year, that is to say the week from 14 to 19 August figure that is also lto second lowest reported in this 2022.
It should be said that commercial activity has been down for some time now, which is reflected in the numbers, given that volumes have been close to one billion dollars in the last three weeks.
These figures represent a drop of 55 percent of the average trading volume of this 2022, and the latest low has become the second worst trading week so far this year, according to CoinShares.
Downside crypto investment products
Trading volumes in crypto investment products likewise posted one of their lowest levels during that week since October 2020, as outflows continued in August, according to CoinShares.
Those deals managed to win trading volumes of $901 million, which is significantly less than the year-to-date weekly average of $2.4 billion on August 8. Likewise, it is the lowest since October 2020, according to what is reported by the report.
For his Part of the investment products in crypto assets, also accounted for net outflows of $27 million dollars in week 22, a moderately higher amount than the $9 million dollars in outflows of the previous week, according to data.
“While history indicates this is partly due to seasonal effects, we believe it also highlights the continuing apathy following recent price declines.” said James Butterfill, head of research at CoinShares.
Trade Bitcoin and Ether
Bitcoin and Ether were trading around $20,170 and $1,510 at 11:00 a.m. ET on Aug. 29, down about 7 percent in the past week.
It should also be noted that the value of the so-called “digital gold” fell below $20,000 dollars, trading around $19,600.79 dollars on August 26. The drop came after comments from Jerome Powell, chairman of the Federal Reserve, in which he spoke about raising interest rates again as a measure to combat inflation.
It should be said that the inflation rate in the United States was 8.5 percent as of July, after having managed to gain one percentage point since the beginning of the year and 5.4 percent from the same period in 2021, according to the Office of Labor Statistics of the United States, as pointed out by the media Decrypt.
Powell also warned that sustained price stability is still a long way off. However, after what was indicated by the president of the Federal Reserve, some analysts considered that there is the possibility of another rate hike of 75 basis points in September.
Similarly, Ethereum is at the moment a beacon in the dark, as the cryptocurrency saw net inflows totaling $3 million last week, though its price is down 6.5 percent over the past week. This means that we are in a turbulent sea and we will have to wait how the market continues to react in this regard.
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