Record inflow of $1 billion through digital asset investment

Record inflow of $1 billion through digital asset investment

The breakthrough in the digital asset market has led to an increase in inflows of USD 1 billion, with inflows now reaching an impressive record of USD 14.9 billion. This remarkable performance highlights the growing investor confidence and interest in digital assets, particularly Bitcoin and Ethereum.

Bitcoin leads the charge

According to CoinShares, most of these inflows were in Bitcoin ETPs, which hit an impressive $1.01 billion in the last week alone. These significant inflows were a key driver of this year’s record-breaking totals.

Interestingly, while Bitcoin ETPs experienced large inflows, Bitcoin Short Products experienced outflows totaling $4.3 million, indicating that market sentiment toward Bitcoin remains strong despite recent price increases. This suggests a shift to a more optimistic outlook. These changes are likely to be influenced by Federal Open Market Committee (FOMC) minutes and investors’ interpretation of recent macroeconomic data, which they perceive as slightly dovish.

Ethereum and other digital assets

Ethereum also saw a significant increase in inflows during the week, reaching US$36 million. This is the highest weekly inflow for Ethereum since March, thanks to the approval of the ETH ETF in the US. Other digital assets such as Solana also benefited from $8 million in inflows last week.

local insights

Inflows were mainly concentrated in the United States, accounting for $1.03 billion of the total. Grayscale, a major player in the market, saw its outflows drop dramatically this week to $15 million. Europe also saw positive trends, with Germany and Switzerland recording inflows of US$48 million and US$30 million respectively.

However, positive movements did not appear in all regions. In Hong Kong, despite an initial surge following the launch of a Bitcoin spot-based ETF (USD300 million in its first week), it saw outflows of USD29 million last week.

Market Overview

The recent price increase brought the total value of digital asset ETPs to US$98.5 billion, with weekly ETP trading volume increasing 28% to US$13.6 billion. The steady inflows over the past three weeks highlight growing investor interest and confidence in digital asset markets.

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