The cryptocurrency investment sector witnessed a surge in capital during the past week of trading, coinciding with Bitcoin’s rise to a record-breaking valuation of $118,000.
According to a report released on Monday by CoinShares, globally, crypto
exchange-traded products (ETPs)
attracted inflows totaling $3.7 billion for the week concluding last Friday.
This influx of funds significantly boosted the year-to-date (YTD) inflows for crypto ETPs, reaching a new peak of $22.7 billion, marking an approximate 20% increase from the previous week’s $19 billion.
The combined market capitalization of assets held within crypto funds also reached a new milestone, with assets under management (AUM) surpassing $211 billion for the first time.
Bitcoin ETPs Dominate Inflows with $2.7 Billion
Bitcoin (BTC) ETPs were the primary beneficiaries of this surge, attracting $2.7 billion in inflows during the week, representing 73% of the total inflows into crypto ETPs.
These substantial inflows represent a considerable rebound from
the previous week’s $790 million, which itself followed a period of steady inflows averaging $1.5 billion per week for the preceding three weeks.
Following a slowdown in inflows the previous week, James Butterfill, Head of Research at CoinShares, suggested that investors were showing growing caution as Bitcoin approached new record levels.
Despite this, sentiment towards ETPs intensified, with daily inflows into Bitcoin
exchange-traded funds (ETFs)
exceeding $1 billion the subsequent day. This surge followed
Bitcoin establishing new all-time highs above $112,000
last Wednesday, according to data from SoSoValue.
Butterfill further noted that the recent inflows have propelled Bitcoin ETPs’ total AUM to $179.5 billion. He also highlighted that this AUM now represents 54% of the total assets held in gold ETPs, marking a historic comparison.
Ethereum ETPs Mark 12 Weeks of Consistent Inflows
Ethereum (ETH) ETPs have recorded their 12th consecutive week of positive inflows, accumulating a total of $990 million. CoinShares reported that these inflows represent their fourth-largest on record.
“In terms of proportion, Ethereum’s inflows over the last 12 weeks account for 19.5% of its AUM, whereas Bitcoin’s account for 9.8%,” Butterfill stated.
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Conversely, XRP (XRP) ETPs experienced the most significant weekly outflows, totaling $104 million, while Solana saw substantial inflows of $92.6 million.
US Issuers See Widespread Inflows
The latest weekly inflows were distributed widely among various US-based issuers, with BlackRock’s iShares crypto funds leading the way by attracting $2.4 billion.
Fidelity Investments and ARK Invest followed, securing $400 million and $339 million, respectively.
CoinShares, in contrast, was among the few European issuers that experienced minor outflows, totaling $16 million for the week.
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