A new written report from crypto fund provider CoinShares has indicated that some institutional investors have been realizing profits during BTC'due south recent consolidation.

CoinShares' weekly digital asset flows study identifies $85 million in outflows from institutional crypto products this past week, asserting the data suggests "some investors are continuing to take profits afterwards [BTC's] strong price appreciation."

The written report noted the rising (trade-weighted) U.S. dollar, stating the USD index "is typically inversely correlated to Bitcoin prices," and could explain why some investors are taking profits at the current levels.

The business firm besides identified pocket-size outflows from Ethereum-derived investment products, with $iii meg leaving the markets.

Despite the profit-taking, institutional inflows remain strong, with $359 million flooded into crypto investment products this week. Institutions all the same announced almost single-mindedly focused on BTC, with Bitcoin products representing all but 1% of the week'south total capital flows.

CoinShares notes that crypto inflows accept returned to their pre-Christmas levels, following the 97% drop over three weeks seen subsequently the holiday break. Daily volumes are currently upwardly more than than 450% twelvemonth-over-year.

Institutional products currently correspond 6% of combined Bitcoin book — down from fourteen% at the start of the calendar month.

Much has been lately of the growing institutional appetites for crypto, with major global companies recently filling their treasuries with BTC.

After hosting more 11 million BTC worth of futures trade in 2020, Chicago Mercantile Exchange announced last month that information technology plans to launch cash-settled Ethereum futures contracts in early Feb, pending regulatory approval.

On January. 20, Ninepoint Partners filed its terminal prospectus for a Bitcoin Trust conditionally approved by the Toronto Stock Exchange.