Interest in bitcoin shorts among institutional investors rose to record levels, helped by the launch of the first U.S. bitcoin shorts ETF.
CoinShares’ weekly report on fund flows to/from digital assets shows that bitcoin shorts investment products saw inflows of $51 million in the past week.
Other bitcoin-related products received small inflows of $0.6 million. In total, digital asset-based investment products received $64 million.
The ProShares Short Bitcoin Strategy ETF was created on June 21, 2022. The fund tracks bitcoin price rates and moves inversely to the cryptocurrency. In the last week, of all the investment product providers, only ProShares received an infusion of $43 million. Europe’s 21Shares comes in second place with an inflow of $7.7 million.
The growing interest in bitcoin shorts came after the price of the major cryptocurrency fell about 60% in the second quarter. This is the worst result since 2011.
CoinShares analyzed the data by region and revealed the following breakdown: the U.S. registered a weekly gain of $46.2 million (this applies to shorts), Brazil, Canada, Germany and Switzerland collectively received $20 million (bitcoin bullion).
Ethereum also experienced weekly additions of $5 million, with multi-asset investment products adding $4.4 million.