Crypto fund inflows surpass 2022 numbers in 6 weeks

• The continuous influx of funds into crypto over the past six weeks surpassed the total inflows observed in 2022.
• Last week, Ethereum recorded its highest weekly inflows since August 2022.

Digital asset investment products recorded inflows totaling $261 million last week, marking the sixth consecutive week of inflows, digital asset investment firm CoinShares found in a new report.

Source: CoinShares

According to the report, the six-week run of inflows of $767 million exceeded the total inflows of $736m recorded in the whole of 2022. Coinshares noted:

“This run of inflows now matches the July 2023 run of inflows and is the largest since the end of the bull market in December 2021.”

Last week’s inflows brought the year-to-date (YTD) fund flows to a net positive of $847 million, and the total assets under management (AUM) for crypto-related investment products to over $30 billion at the end of the window period observed. 

On a regional level, most of last week’s flows into crypto funds came from the United States, Germany, Switzerland, and Canada, with inflows of $157 million, $63 million, $36 million, and $9 million, respectively.

Bitcoin and Short-bitcoin products 

Last week, Bitcoin-backed investment products recorded inflows of $229 million, causing the leading coin to account for 31% of the total inflows recorded during that period. 

This brought its YTD flows to $842 million, a 37% uptick from the previous week’s YTD flow of $613 million.

According to CoinShares, the growth in the coin’s YTD fund flows in the last week was:

“Likely buoyed by the increasing likeliness of a spot-based ETF in the US and weaker than expected macro data, bringing in to question the efficacy of US monetary policy.”

However, despite this, BTC’s price consolidation within a tight range caused some investors to take flight. CoinShares acknowledged: 

“Short-bitcoin also saw inflows of US$4.5m, highlighting some investors see the recent rally as unsustainable.”

Ethereum sees a win at last

The year so far has been predominantly marked by fund flows out of Ethereum [ETH]-backed investment products. According to CoinShares, the altcoin’s run of outflows this year has totaled $107 million. 

However, with the growth recorded in the alt’s value in the past few weeks, its investment products recorded outflows last week. This totaled $18 million, marking its “largest inflows since August 2022.”

How much are 1,10,100 ETHs worth today?

Due to the persistent outflows recorded, the coin’s YTD fund flows were a net negative of $107 million last week, the report showed. 

Regarding other altcoins, CoinShares remarked:

“Other altcoins, such as Solana saw inflows totalling US$11m, while Chainlink saw inflows of US$2m, representing 17% of total assets under management. Polygon and Cardano also saw inflows of US$0.8m and US$0.5m respectively.”