Crypto investment products hit a historic milestone last week, recording a staggering $3.85 billion in weekly inflows, according to CoinShares’ latest digital asset flows report.
These capital inflows brought the annual total (YTD) to $41 billion, with assets under management (AuM) climbing to $165 billion. These figures surpassed the previous record set in 2021, which saw $10.6 billion in total inflows and $83 billion in assets under management.
Bitcoin leads
Bitcoin became the dominant force behind last week’s inflows, contributing $2.5 billion in total and bringing its year-to-date inflows to $36.5 billion.
US-based Bitcoin ETFs contributed significantly to these numbers, with BlackRock’s IBIT seeing inflows of over $3 billion and Fidelity’s FBTC seeing inflows of $262 million.
Notably, the influx of these products has now pushed their collective BTC holdings above those of Satoshi Nakamoto, the pseudonymous creator of the flagship digital asset.
Interestingly, short Bitcoin products also saw inflows of $6.2 million. James Butterfill, head of research at CoinShares, linked this influx to the current bullish market momentum that has helped push the price of BTC to a new all-time high above the $100,000 mark.
However, he noted that this modest sum reflects a cautious stance by bearish traders amid bullish market momentum. Historically, flows into short products tend to increase following significant price increases.
Ethereum and XRP gain ground
During the reporting period, Ethereum attracted $1.2 billion in inflows, marking its highest weekly total since the launch of Ethereum-based ETFs.
Market observers have noted that growing demand for Ethereum products has led to a two-week inflow streak totaling more than $1.3 billion. This increase corresponds to increased interest in Ethereum’s utility and growing institutional adoption.
XRP maintained its bullish momentum, attracting over $134 million in inflows. Market optimism regarding the potential launch of an XRP ETF in the United States has increased its appeal among investors.
Additionally, XRP recently hit a seven-year high price, surpassing $2 and bringing its market cap to a record $150 billion. However, the asset has since seen a slight decline of 5% over the past 24 hours to $2.43 at press time, according to CryptoSlate data.
