Bitcoin And Ethereum Lead The Charge in Fund Inflows as Digital Asset Investment Products See 10th Consecutive Week of Growth

The latest CoinShares report on crypto fund flows has revealed significant inflows into digital asset investment products, marking the 10th consecutive week of growth.

The latest CoinShares report on crypto fund flows has revealed significant inflows into digital asset investment products, continuing a 10-week trend of sustained growth.

Inflows totaled $3.2 billion last week alone, pushing year-to-date inflows to a record-breaking $44.5 billion, which is more than four times higher than any previous year, according to Coin Shares.

The report also highlights that trading volumes in exchange-traded products (ETPs) have averaged $21 billion weekly, which now accounts for nearly 30% of Bitcoin traded on trusted exchanges.

Bitcoin's daily trading volume on these platforms now stands at $8.3 billion, which is double the trading volume of the FTSE 100, highlighting its increasing liquidity.

Speaking of Bitcoin, which assets led the $3.2 billion fund flow recorded last week? Let's find out.

Bitcoin And Ethereum Lead The Charge in Fund Inflows

According to the CoinShares report, Bitcoin continues to spearhead digital asset fund flows, with inflows of $2 billion last week alone.

This brings the total inflows into Bitcoin investment products since the US election to $11.5 billion, Head of Research at CoinShares, James Butterfill wrote. Notably, even short Bitcoin products saw $14.6 million in inflows, highlighting a diversified market sentiment.

Despite this, Butterfill mentioned that the firm's total assets under management (AuM) for short Bitcoin products remain relatively low at $130 million, indicating that bullish sentiment far outstrips bearish bets in the current market cycle.

Meanwhile, Ethereum also recorded substantial inflows, marking its seventh consecutive week of growth with $1 billion in new investments. Over the past seven weeks, Ethereum has attracted $3.7 billion in inflows, signaling “improved market sentiment” for the asset.

It is worth noting that this trend reflects the growing confidence in Ethereum's role as a major component of the blockchain ecosystem, especially as it continues to benefit from increased institutional adoption and the expanding crypto exchange-traded fund (ETF) market.

Region And Altcoin Fund Flows

Regional inflows indicate a positive sentiment across key markets, with the United States leading the way with $3.1 billion in inflows.

Other regions like Switzerland, Germany, and Brazil contributed $36 million, $33 million, and $25 million respectively.

While Bitcoin and Ethereum captured the bulk of fund flows, altcoins also experienced interesting investment activity. XRP, for instance, led the way with inflows of $145 million, driven by rising optimism for a US-listed ETF, according to Butterfill.

Additionally, Polkadot and Litecoin also saw modest inflows of $3.7 million and $2.2 million, respectively, highlighting the continued diversification of investor interest in digital assets beyond the market leaders.

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