Bitcoin (BTC), the largest crypto, registered massive inflows from digital asset investment products. Moreover, Bitcoin accounted for nearly 98% of these inflows, thanks to the Spot Bitcoin ETFs. In addition, a bullish sentiment was noticed for Ethereum (ETH) and Cardano (ADA).
Bitcoin Bags 98% Of Digital Asset Fund Inflows
According to a recent report by CoinShares, digital asset investment products witnessed weekly inflows totaling $1.1 billion. Moreover, these massive inflows pushed the year-to-date inflows to $2.7 billion. This surge in investment activity has propelled the total assets under management (AuM) to its highest level since early 2022, reaching $59 billion.
The spotlight remained on the newly introduced Spot Bitcoin ETFs in the United States, which garnered a notable $1.1 billion in net inflows last week alone. Since their launch on January 11th, these ETFs have accumulated inflows totaling $2.8 billion, indicating a strong investor appetite for Bitcoin exposure within the traditional financial infrastructure. Bitcoin remains the dominant force in attracting investor funds, capturing nearly 98% of the total inflows
Despite concerns surrounding potential outflows from existing investment products, the report suggests that the pace has notably decelerated. However, the forthcoming sale of Genesis holdings worth $1.6 billion could potentially trigger further outflows in the near future.
Regionally, while outflows from other regions have cooled off, minor outflows were observed from Canada and Germany, amounting to $17 million and $10 million, respectively. In contrast, Switzerland experienced inflows of $35 million last week, underscoring the global interest in digital asset investment products.
Also Read: Spot Bitcoin ETF: Analyst Says ‘Magnitude of Impact Not Priced In’
Digital Asset Fund Inflows For Altcoins
The bullish sentiment surrounding Bitcoin’s price appreciation has also spilled over to other major cryptocurrencies, notably Ethereum and Cardano. Ethereum witnessed inflows of $16 million, while Cardano saw inflows of $6 million, reflecting growing investor confidence in these alternative assets.
Additionally, minor inflows were observed in other cryptocurrencies such as Avalanche (AVAX) with $0.5 million and Polygon (MATIC) with $0.4 million inflows, respectively. Moreover, Tron (TRX) accounted for $0.4 million in inflows. Conversely, minor outflows were recorded for Uniswap and Short-Bitcoin, totaling $0.5 million and $0.4 million, respectively.
While blockchain equities experienced outflows from one issuer amounting to $67 million, other issuers saw inflows totaling $19 million. This suggests a mixed sentiment within the blockchain equities market, with certain issuers attracting investor interest while others witness divestment.
Also Read: Expert Anticipates Bitcoin Correction To $33K, But There’s A Positive Side
The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
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