In a week characterized by robust activity in the crypto asset investment arena, Coinshares’s latest Digital Asset Fund Flows Weekly Report unveils some striking figures. As per the report, within the digital assets sector, investment products witnessed their second-greatest weekly inflow, amounting to as much as $1.84 billion.
In addition, trading volumes on these investment products rose to fresh highs of more than $30 billion during the week. Remarkably, such volumes sometimes represented half of the daily trading volumes for Bitcoin globally on reputable exchanges.
Digital asset investment products have seen an impressive surge in cumulative assets under management (AuM), which is almost at its highest record of $82.6 billion. This is close to the peak reached in early November 2021 when AuM was at $86 billion, suggesting that there has been a return of investor interest in the digital asset space.
Meanwhile, net inflows to the United States were amounting to $1.88 billion making it one of the most dominant players in this landscape. Nevertheless, this was somewhat diluted by increased outflows from established player Grayscale, who experienced outflows worth $1.46 billion in their Bitcoin ETF fund.
Now, as for new issuers, they captured $3.2 billion within one week. Across other regions however, Switzerland saw flows of $20m come in while Sweden had outflows totaling $32 million, Germany with -$35 million and Canada also experienced -$23 million.
Bitcoin Reigns Supreme in Crypto Investment
A bigger part of the inflow was pointedly led to Bitcoin at about 94%, amounting to a considerable $1.72 billion. Meanwhile, as observed with fluctuation in prices these days, a couple of panicky investors went for pulling out about $22 million from short Bitcoin investment products, which would indicate rather diversified strategies investors hit trying to respond to market dynamics timings.
Ethereum also had its busiest week since mid-July 2022: a $85 million inflow. But while in the inflows, Ethereum’s AuM is still pretty far from the record $23.7 billion and stands at $14.6 billion. Other activities included Polygon recording $7.6 million in inflows, which represent 22% of its AuM, and Solana registered $12 million in outflows.
On the whole, Coinshares’s report presents an intense painting of the ongoing dynamism in the crypto investment space with investors showing resistance and adaptability to market fluctuations and taking advantage of a variety of assets.
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