The cryptocurrency market has witnessed an unprecedented influx of $1.76 billion in the last 10 weeks, setting a new record since the launch of futures-based ETFs in the United States back in October 2021. According to the latest Coinshares Digital Asset Fund Flows Weekly Report, the current streak of inflows is the most substantial since the introduction of futures-based ETFs in October 2021.
Cryptocurrency Breakdown: Bitcoin, Ethereum, and More
Noteworthy contributions to this surge came from key players in the crypto space, with Canada, Germany, and the United States leading the way with significant inflows. In contrast, Hong Kong experienced minor outflows, contributing to an overall net outflow in Asia for the year.
Bitcoin emerged as a primary beneficiary, attracting $133 million in inflows, while Ethereum followed suit with $31 million. Notably, this marks Ethereum’s fifth consecutive week of positive inflows, bringing the total to $134 million. This recent surge has also reversed the negative sentiment that prevailed earlier in the year, with net flows turning positive at $10 million.
As per the report, digital asset investment products have witnessed a notable increase in assets under management (AuM), rising by 107% year-to-date. However, the total AuM currently stands at $46.2 billion, remaining below the all-time high of $86.6 billion seen in 2021. Despite this, trading volumes in exchange-traded products (ETPs) remain robust, reaching $2.6 billion for the week, representing 12% of total Bitcoin volumes.
In terms of geographical focus, Canada, Germany, and the United States played pivotal roles in driving the surge, with inflows of $79 million, $57 million, and $54 million, respectively. Hong Kong, on the other hand, experienced minor outflows totaling $15 million.
Surprisingly, even short-bitcoin, which witnessed a three-week streak of outflows, saw an influx of $3.6 million in the past week. This dynamic market behavior reflects the evolving nature of investor sentiment and strategies. Moreover, blockchain equities continued their impressive run, marking seven consecutive weeks of inflows. Last week’s $17.4 million inflow was the largest since July 2022, indicating sustained confidence in this sector.
While the crypto market continues to experience robust growth, it remains to be seen how this influx of funds will shape the landscape in the coming weeks and whether it will contribute to the market’s recovery towards its previous all-time highs.
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