New York City - Cryptocurrency products and funds received $184 million in net inflows from CoinShares last week, according to the data from digital asset manager CoinShares.
It was Friday's price weakness that resulted in $40 million outflows that day, according to CoinShares. Total inflows of $9.1 billion for the year were slightly less than the record high of $9.5 two weeks ago.
It was its 12th week of inflows that it attracted $145 million net. It saw outflows of $42 million on Friday, as it bore the brunt of investor jitters amid sharp price declines.
The weekend fall in prices was linked to a move away from riskier assets in traditional markets because of concerns about the Omicron coronavirus variant, according to traders.
As prices fell, investors who had bought bitcoins on margin saw exchanges close their positions, leading to a cascade of selling. A range of retail-focused exchanges closed more than $2 billion of long positions on Saturday, according to Coinglass.
The markets for cryptocurrencies have become very volatile. Ruud Feltkamp, chief executive officer at the automated trading botCryptohopper said that the Omicron variant and the pressure on the TradFi traditional finance markets also seem to affectbitcoin.
In the bull market of 2017 you saw several crashes of sometimes up to 38% of its value. The more afraid you are to step in, the better. When you feel too confident, it's a good moment to step out. The last time it was at $49,093 was down 0.8%. Since the record peak of $69,000 hit on Nov. 19, the price of bitcoin has plunged 32%.
CoinShares also noted that the volume of the digital currency went to $15 billion last Friday, higher than the average $8 billion per day for November and December.
Inflows totalled $25 million, but last Friday there were minor outflows of $4.7 million.
Polkadot, the coin that allows different blockchains to interoperate, saw outflows of $3 million last week, with the majority of those outflows coming in the latter half of the week.