Bitcoin attracted the highest weekly inflows of almost $570 million, surpassing other major cryptocurrencies like Ethereum (ETH) and Ripple (XRP). ETH recorded minor inflows of $16.8 million, while XRP saw even lower inflows at $1.1 million.
According to CoinShares’ recent report, investment in digital products experienced a significant increase in inflows during the past week.
Significant Inflows in Digital Investment Products
CoinShares’ latest report highlights a remarkable trend in the investment landscape, with digital asset products witnessing substantial inflows for the fourth consecutive week. During the past week alone, these investment products attracted a total inflow of $598 million, indicating sustained investor interest.
The report also reveals that the cumulative inflows into digital investment products since the beginning of the year have surpassed an impressive milestone, reaching over $5.7 billion. Notably, this year-to-date figure accounts for 55% of the total inflow recorded throughout the entire fiscal year of 2021.
With the addition of $598 million in inflows, the total assets under management (AUM) across various digital investment products have surged to approximately $67.47 billion. This significant growth underscores the growing prominence of digital assets in the investment landscape.
Bitcoin Dominates Inflows, Ethereum Trails Behind
Out of the $598 million inflows into digital investment products last week, Bitcoin (BTC) attracted the lion’s share, totaling approximately $570 million. This surge propelled Bitcoin’s year-to-date inflows to an impressive $5.6 billion, with its total assets under management (AUM) reaching $49.56 billion.
Bitcoin’s sustained dominance in attracting significant inflows can be attributed to the approval of multiple Bitcoin spot exchange-traded funds (ETFs) in the United States. These regulatory developments have played a pivotal role in attracting investments from traditional finance (TradFi) investors to the leading cryptocurrency.
In contrast, Ethereum (ETH) saw comparatively lower inflows, with its weekly inflow reaching just $16.8 million. Additionally, Cardano (ADA) and XRP witnessed modest inflows of $400,000 and $1.1 million, respectively.
However, Solana (SOL) experienced an outflow of $3 million during the same period. This outflow could potentially be linked to a shift in investor sentiment following Solana’s recent network outage, which raised concerns among investors about the network’s reliability and stability.
Global Trends in Crypto Investment Flows
The United States emerged as the leader in crypto investment inflows, reporting a substantial $610 million influx. However, this figure was notably impacted by crypto asset manager Grayscale, which experienced outflows totaling $436 million over the past week.
Brazil, Switzerland, and Australia witnessed minor weekly inflows of $8.2 million, $2.1 million, and $1.5 million, respectively. These regions demonstrate a growing interest in cryptocurrency investment despite varying levels of inflows.
In contrast to the influx of funds into digital investment products, blockchain equities saw $81 million in outflows last week according to CoinShares’ data. This suggests a cautious approach among equity investors, possibly influenced by regulatory uncertainties and heightened market volatility.
As of the latest data, the global cryptocurrency market cap has exceeded $2 trillion, marking a 0.59% increase over the past day. This milestone underscores the continued growth and resilience of the cryptocurrency market despite fluctuations in investment flows and market conditions.
Important: Please note that this article is only meant to provide information and should not be taken as legal, tax, investment, financial, or any other type of advice.
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