The latest weekly crypto asset fund flows report from CoinShares shows a significant turnaround in sentiment. According to the European digital asset manager, crypto investment products recorded $644 million in inflows last week, ending a five-week streak of outflows.
This recovery follows a prolonged period of bearish sentiment, with the last instance of sustained inflows occurring more than a month ago.
Bitcoin Leads Recovery as Ethereum Sees Largest Outflows
James Butterfill, Head of Research at CoinShares, noted that “total assets under management have risen by 6.3% from their low point on March 10th.” He added that inflows were recorded every single day of the week, marking a clear reversal from the 17 consecutive days of outflows that preceded it.
This trend suggests that investor sentiment may be shifting more positively toward digital assets. Bitcoin played a dominant role in last week’s inflow data, attracting $724 million in new capital and ending its own five-week outflow streak, which had totaled $5.4 billion.
Short Bitcoin products, which profit from BTC price declines, registered outflows for the third consecutive week, totaling $7.1 million, signaling waning bearish expectations from investors.
While Bitcoin led the inflows, the altcoin space showed mixed results. Ethereum saw the most significant outflows of any digital asset, with $86 million exiting ETH investment products.
Other altcoins, including Sui and Polkadot, also posted outflows of $1.3 million each, while Tron and Algorand lost $0.95 million and $0.82 million, respectively.
In contrast, Solana emerged as the top altcoin in terms of investor interest, with $6.4 million in inflows. Polygon and Chainlink followed with modest gains of $0.4 million and $0.2 million.
Regionally, the United States was responsible for the majority of inflows ($632 million), while Switzerland, Germany, and Hong Kong contributed smaller but still positive amounts.
Crypto Market Performance
Regardless of this fund flow recorded last week, this week’s crypto market performance appears to have started on a bullish note. In the early hours of Monday, Bitcoin picked up a notable recovery with the asset rising by nearly 5% to reclaim its price back above $87,000.
Particularly, at the time of writing, the asset still hovers above $87,000, trading at a price of $87,517, marking an approximately 5.1% increase over the past week. Interestingly, despite this, the asset is still down by a double digit from its all-time high (ATH) above $109,000 registered in January.
According to data from Coingecko, at current market prices, BTC is down by roughly 19.8% from this peak. Interestingly, not only BTC started the Monday green, even Ethereum that has been consolidating inside a bearish trend has also seen an uptick.
Over the past day, the asset has risen by 3.3% and in the past week, ETH has surged by nearly 10% bringing its its value to a current trading price of $2,083.
Featured image created with DALL-E, Chart from TradingView