BlocksInform
Cryptographic asset inflows were among the worst in 2022. The year was marked by numerous market declines and falls, resulting in more than $2 trillion of market capitalization disappearing. Investors have reacted by withdrawing their money from the marketplace, and institutional investors have invested the lowest cumulative amount since 2018.
Investors have responded by withdrawing from the market, and institutional investors have invested the lowest cumulative number since 2018.
A report from CoinShares outlines the year 2022 in review and how the crypto assets being invested in had done. It shows total revenues of $433 million for the year as a whole. The last time they were so low was in 2018, when the number was $233 million.
To put this in perspective, in the year 2021, crypto asset inflows came out to $9.1 billion. It was during the bull market and cupidity was at a record level. However, this means that between 2021 and 2022, inflows decreased by over 95 per cent. Even the year prior to 2020 had been much better with $6.6 billion in inflows.
It is interesting to note that the 2022 outflows have been relatively lower than in 2018. The most important weekly exits of the year were only 0.7%, which is encouraging despite the decrease in admissions. Nevertheless, such dumping shows that institutional investors remain very wary of the crypto market, and it could continue in 2023 if no recovery takes place.
Nevertheless, such a fall shows that institutional investors remain very suspicious of the cryptography market, and it could continue in 2023 if no recovery occurs.
Bitcoin continues to lead. Once again, Bitcoin leads the market, ordering over half of the value recorded at 287 million dollars. It was followed by multi-asset investment products that had received much support for the year with 209 million dollars in entries.
Bitcoin short and other short products have also been performing well as they have been launched into this formidable market competition. These assets generated $108 million in cash flow over the course of the year. However, overdraft accounts for only 1.1% of total AUM, according to coinshares.
BTC price trading above $16,800 | Source: BTCUSD on TradingView.comBTC over $16,800 | Credit: BTCUSD on TradingView.com. In 2022, the BTC lost approximately 63% of its value, which drove the rest of the market downwards. This significant slowdown resulted in investors being frightened and less money being injected into the market.
SHIB and DOGE rank, but should you buy them? However, a shift in the price of bitcoin might see a rapid change in the current trend of inflows.
So far, it's a standby. Bitcoin trades to $16,804 at the time of this entry.
