The latest CoinShares report on crypto fund flows has revealed significant inflows into digital asset investment products, marking the 10th consecutive week of growth.
Inflows totaled $3.2 billion last week alone, pushing year-to-date inflows to a notable record of $44.5 billion—more than four times higher than any previous year, according to CoinShares.
The report highlights that trading volumes in exchange-traded products (ETPs) have averaged $21 billion weekly, accounting 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 twice 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?
Bitcoin And Ethereum Lead The Charge in Fund Inflows
According to the CoinShares report, Bitcoin continues to dominate 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 outweighs 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, particularly 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 demonstrate a positive sentiment across key markets, with the United States leading the charge with $3.1 billion in inflows.
Other regions such as Switzerland, Germany, and Brazil contributed $36 million, $33 million, and $25 million respectively.
While Bitcoin and Ethereum captured the majority of fund flows, altcoins also experienced noteworthy 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.
Featured image created with DALL-E, Chart from TradingView
