Journalist
Posted:
- The net inflow has more than doubled compared to the previous week.
- Funds linked to Bitcoin accounted for more than 99% of total inflows.
Digital asset funds attracted record inflows totaling $2.45 billion last week, spurred by surging institutional interest in spot Bitcoin [BTC] ETFs.
According to the latest figures, net inflows have more than doubled compared to the previous week report by crypto asset management company CoinShares.
This was also the third week in a row of net capital injection into institutional crypto products.
Source: CoinShares
AuM highest since December 2021
According to the latest figures, total inflows have risen above $5 billion since the beginning of 2024. Additionally, total assets under management (AuM) spiked to a 26-month high of $67 billion.
Remember that the assets under management are not only dependent on the flow of money from investors into and out of a fund, but are also based on the price development of the underlying asset.
Recent price movements, which pushed leading assets such as Bitcoin and Ethereum to higher levels [ETH] to cyclical highs, were a key driver of increasing assets under management.
Bitcoin spot ETFs are in the spotlight
Bitcoin-linked funds accounted for more than 99% of total inflows last week, bringing year-to-date inflows to $5.02 billion.
Much of the action revolved around the newly launched spot ETFs in the US market. In fact, the US accounted for 99% of the total inflows last week, the report said.
The outflows from the Grayscale Bitcoin Trust (GBTC), which was initially one of the main bearish triggers for Bitcoin, have slowed significantly in recent weeks, leading to the reversal.
According to AMBCrypto’s research into SoSo value According to data, GBTC outflows have fallen 73% since the peak on January 22.
Source: SoSo value
Ethereum-linked funds are on the move
Meanwhile, funds tied to other major cryptos like Ethereum also saw impressive inflows, totaling more than $21 million.
The sentiment was likely boosted by an 18% weekly increase in ETH’s market value, as shown CoinMarketCap.
On the other side Solana [SOL] saw a capital exit of $1.6 million, which the report attributed to negative sentiment following the recent network outage.
One of the other main sources of outflows was profit-taking by investors in blockchain equity ETFs.