Crypto funds from asset managers such as BlackRock, Bitwise, Fidelity, Grayscale, ProShares, and 21Shares recorded record inflows totaling $2.45 billion globally last week, according to a new report from CoinShares.
Year-to-date inflows into digital asset investment products now amount to $5.2 billion, with the majority being dominated by emerging U.S. spot Bitcoin exchange-traded funds.
Combined with recent price increases, crypto investment firms now have $67 billion in assets under management, the highest level since December 2021 at the peak of the previous bull market, CoinShares said. James Butterfill, head of research, wrote:
Weekly crypto asset flows. Image: CoinShares.
Bitcoin is currently trading at $52,188, up about 25% since the beginning of the year, according to The Block's data dashboard.
BTC/USD price chart. Image: Block/TradingView.
Accelerating inflows indicate growing interest in US spot Bitcoin ETFs
The United States continued its regional dominance, accounting for 99% of weekly inflows (totaling $2.4 billion). Funds domiciled in Switzerland and Germany recorded modest inflows of $16.7 million and $13.3 million, respectively, while Sweden saw the largest outflow in the region at $26.3 million.
Butterfill said the significant acceleration in net inflows and decline in outflows from existing funds, such as Grayscale's Convertible GBTC Fund, is indicative of increased interest in the new U.S. spot Bitcoin ETF.
Unsurprisingly, Bitcoin investment products also dominated, again accounting for 99% of last week's inflows. However, some investors increased their short positions, adding $5.8 million worth of inflows to their Bitcoin short products.
Ether was the top altcoin-based fund with inflows of $21.1 million. The Avalanche fund received his $1 million inflow, and Chainlink and Polygon products both added to his $900,000, continuing his consistent weekly inflows.
However, Solana's investment products did not fare as well, with recent network downtime dampening sentiment and posting an outflow of $1.6 million, Butterfill claimed.
Blockchain equity ETF investors also took profits last week, leading to total outflows of $167 million, Butterfill added.
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