Renewed Optimism in Crypto Markets as Inflows Break 5-Week Outflow Streak

Digital asset investment products saw a reversal last week, breaking a five-week streak of outflows, with inflows totalling US$644m.

Digital asset investment products saw a return to inflows last week, breaking a five-week streak of outflows, with the latest weekly report by CoinShares showing a total of US$644m flowing into the asset class. This brought the total assets under management down 6.3% from their low point on March 10th.

Every day last week saw inflows, following a 17-day consecutive run of outflows — demonstrating a decisive shift in sentiment toward the asset class.

The majority of the flows originated in the US, which saw US$632m enter crypto investment products. However, Switzerland, Germany, and Hong Kong also saw inflows, amounting to US$15.9m, US$13.9m, and US$1.2m, respectively.

Bitcoin led the recovery, with US$724m flowing into the world’s largest cryptocurrency and derivatives, finally ending a five-week outflow streak that had seen a total of US$5.4bn pulled out of the asset.

Meanwhile, short-Bitcoin investment products saw a third consecutive week of outflows, this time totalling US$7.1m.

Sentiment in the altcoin space was mixed. Ethereum saw the heaviest outflows, with US$86m pulled out of the second-largest cryptocurrency. Other altcoins that saw outflows include Sui (US$1.3m), Polkadot (US$1.3m), Tron (US$0.95m), and Algorand (US$0.82m).

On the other hand, Solana saw the biggest inflows with US$6.4m entering the asset, while Polygon and Chainlink saw more modest gains of US$0.4m and US$0.2m, respectively.output: Despite a five-week streak of outflows, digital asset investment products saw a return to inflows last week, according to the latest weekly report by CoinShares.

The report, published on Monday, revealed that over the course of last week, a total of US$644m flowed into crypto investment products. This brought the total assets under management down 6.3% from their low point on March 10th.

To put this in perspective, every day last week saw inflows, following a 17-day consecutive run of outflows, which began on January 27th. This marks a decisive shift in sentiment toward the asset class.

The majority of the flows originated in the US, which saw US$632m enter crypto investment products. However, Switzerland, Germany, and Hong Kong also saw inflows, amounting to US$15.9m, US$13.9m, and US$1.2m, respectively.

Bitcoin (BTC) led the recovery, with US$724m flowing into the world’s largest cryptocurrency and derivatives. This finally ended a five-week outflow streak that had seen a total of US$5.4bn pulled out of the asset.

Meanwhile, short-Bitcoin investment products saw a third consecutive week of outflows, this time totalling US$7.1m.

In terms of altcoins, Ethereum (ETH) faced the heaviest outflows, with US$86m pulled out of the second-largest cryptocurrency. Other altcoins that saw outflows include Sui (US$1.3m), Polkadot (US$1.3m), Tron (US$0.95m), and Algorand (US$0.82m).

On the other hand, Solana saw the biggest inflows with US$6.4m entering the asset, while Polygon and Chainlink saw more modest gains of US$0.4m and US$0.2m, respectively.