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Tron, Cardano, and Sandbox Surge As Investors Dump Bitcoin

Published 15/05/2023, 19:18
© Reuters.  Tron, Cardano, and Sandbox Surge As Investors Dump Bitcoin

Benzinga - In an unprecedented development within the digital asset investment space, investors seem to be shying away from Bitcoin (CRYPTO: BTC) and looking toward alternative cryptocurrencies.

Outflows from Bitcoin investment products have amounted to $38 million in the past week, contributing to a total of $160 million in outflows over the past four weeks.

These figures constitute 80% of all crypto outflows during this period, signifying a decreasing interest in the world's premier cryptocurrency, according to data released by digital assets platform Kaiko.

The trend of investment outflows has been witnessed consistently for the fourth consecutive week, totaling $54 million for the week.

This has contributed to an overall outflow of $200 million over the past month, which constitutes 0.6% of total assets under management (AuM). This trend, combined with recent price declines, has led to a 13% reduction in total AuM since the mid-April peak.

Also Read: Bitcoin And Ethereum Break Up — The Crypto Love Story Ends?

While the outflows have been geographically dispersed, Europe has seen a more significant proportion, particularly as 84% of the outflows in the U.S. have been attributed to investors offloading short positions.

Amidst these sweeping outflows, an intriguing shift has been detected.

Investors are demonstrating increased interest in altcoin assets. Multi-assets investments experienced $7 million in outflows last week, but in a surprising turn of events, eight different altcoin assets recorded inflows.

Cardano (CRYPTO: ADA), Tron (CRYPTO: TRON), and Sandbox (CRYPTO: SAND) emerged as the top choices, with inflows of $0.5 million, $0.23 million, and $0.2 million, respectively.

Meanwhile, Binance (CRYPTO: BNB) was the only altcoin witnessing outflows, totaling $0.5 million.

This shift in investment behavior suggests a growing inclination among investors towards diversification and a willingness to explore opportunities beyond Bitcoin.

Read Next: Crypto Crime On The Rise, DOJ Takes Aim At Violators Including 'Too Big To Fail'

© 2023 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

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