top of page

Does CoinShares data signal a reversal in smart money sentiment?

GB Market Commentary 26/09/2022

by Marcus Sotiriou


The macroeconomic environment remains uncertain as fears of a global economic slowdown have increased after the Federal Reserve’s and Bank of England’s rate hikes last week. This has caused Bitcoin to struggle to gain any upside momentum and continues to be rejected by the 4 hour trend and 7-day moving average.


Despite this persistently negative sentiment amongst investors relating to the global economy, CoinShares Short Bitcoin investment product has seen the first outflow in 7 weeks totalling $5.1 million.


Also, crypto-focused investment products saw inflows totalling US$8.3m last week. Furthermore, investors dabbled into Ethereum, which saw inflows of $7 million last week. This marks the first week after the merge which showed inflows for Ethereum, after a run of 4 consecutive weeks of outflows.


This data from CoinShares could indicate the beginning of a change in sentiment amongst institutional or High-Net-Worth investors, however, the volume remains very small which indicates that investors are remaining cautious. When inflow volumes pick up to levels comparable to that of the bull market from last year, then we can be more confident of a change in investor sentiment.


Institutions continue to gain exposure in blockchain related investments privately as Web3 Metaverse Company Hadean has raised $30 Million in a Series A funding round, which is backed by Epic Games (a gaming giant) and Tencent (an entertainment giant). Hadean is aiming to provide metaverse gaming scaling tools. JPMorgan released a report recently estimating the metaverse gaming market in China could reach $100 billion, which indicates how much upside potential there is for this industry.

Commentaires


GB_CC_May_Digital Asset Trading_Whiteout
  • LinkedIn
  • Twitter
  • Facebook
  • Instagram
  • YouTube
  • telegram logo

GlobalBlock EU ApS is a company incorporated and registered in accordance with the applicable laws of the Kingdom of Denmark as virtual asset service provider, with registration number (CVR-number) 45126382. GlobalBlock EU ApS is wholly owned by GlobalBlock Ltd., a company registered in England and Wales with registration number 09450626. GlobalBlock EU ApS is not a licensed financial services provider and is not supervised as such by the Danish Financial Supervisory Authority. GlobalBlock EU ApS is supervised with respect to anti money laundering by the Danish Financial Supervisory Authority within the scope of the Danish Act on Prevention of Money Laundering and Terrorist Financing and other legislation stemming thereof.

.
GlobalBlock Europe, UAB is a company incorporated and registered in accordance with the applicable laws of the Republic of Lithuania as a virtual currency depository wallet operator and virtual currency exchange operator, with registration number 306045642. GlobalBlock Europe, UAB is wholly owned by GlobalBlock Ltd., a company registered in England and Wales with registration number 09450626,  GlobalBlock Europe, UAB is not a licensed financial services provider and is not supervised by the Bank of Lithuania. GlobalBlock Europe, UAB is supervised by the Financial Crime Investigation Service under the Ministry of Interior of the Republic of Lithuania within the scope of the Law on Prevention of Money Laundering and Terrorist Financing of the Republic of Lithuania and other legislation stemming thereof.
 
Investors should be aware that cryptocurrencies are volatile investment instruments that carry a high degree of risk to the capital investment. The information in this website is not intended and should not be construed as an offer, solicitation or recommendation to buy or sell any specific investments or participate in any specific investment (or other) strategy. The products and services outlined on this website may not be suitable for all types of investors. The value of an investment can go down as well as up, and you may not get back the amount you originally invested. You should not invest more than you can afford to lose and should ensure that you fully understand the risks involved. Before trading, please take into consideration your level of experience, investment objectives, and seek independent financial advice if necessary. It is your responsibility to ascertain whether you are permitted to use the services of GlobalBlock Europe, UAB based on the legal requirements in your country of residence. The information in this website is for information purposes only and is subject to change. No part of this website can be reproduced without written permission.


 Client fiat is held with GlobalBlock in accounts with BCB Limited,and does not meet the definition of Electronic Money (e-money). Client fiat and cryptocurrency are not “safeguarded” nor covered by any compensation scheme. Clients could potentially lose their cryptocurrency or fiat if something were to happen to GlobalBlock or, BCB.

Cryptoasset Notice

Cryptoasset services are provided by GlobalBlock Europe, UAB (“GlobalBlock”).   Cryptoassets are not regulated in any jurisdiction and the value of your assets can increase or decrease. You should note that your cryptoasset profits may be subject to Capital Gains Tax.

The service you obtain through the website or the app in the UK, contains cryptoasrvices not regulated by the Financial Conduct Authority. Please be aware that:

  • You will have no recourse to the Financial Ombudsman Service in the event of a complaint relating to cryptoasset services.

  • Your cryptoasset account is not protected by the Financial Services Compensation Scheme.

  • Cryptoassets may experience frequent price volatility resulting in a high degree of risk.

bottom of page