- BTC inflows since the start of the year exceeded $500 million.
- Leading alt ETH saw outflows despite the rise in the coin’s value.
Digital asset investment product inflows topped $137 million last week, marking its fourth consecutive week of inflows at $742 million, CoinShares found in a new report.
According to the digital asset investment firm, last month’s total inflows represented the largest inflow since the last quarter of 2021.
Source: CoinShares
Despite the annual average trading volume for investment products hovering around $1.4 billion, CoinShares noted that last week’s trading volumes for these products increased to a total of $2.3 billion, beating the average by a significant margin.
CoinShares added,
“Volumes currently make up a much larger portion of total crypto volumes, up 11% last week compared to the 2% average.”
Investor sentiment is favorable for Bitcoin
For the fourth straight week, investors are “maintaining (rescuing) their focus on Bitcoin” as the king coin recorded inflows totaling $140 million last week. This accounted for 99% of the total intake in that period. While the price of BTC trended downward after a short trade at a two-month high of $31,693 on July 13, the king coin saw its inflows grow by 5% over that period.
The additional $140 million inflow brought the leading coin’s YTD net inflows to $571 million, with $25 billion in assets under management (AuM). This represented the third week in which BTC recorded net inflows YTD after being in a net outflow position of $171 million a month ago.
On the other hand, short bitcoin investment products saw outflows of $3.2 million last week, representing 12 weeks of consecutive outflows. According to CoinShares:
“A combination of recent price increases and outflows has caused short bitcoin total assets under management to drop from their peak of US$198 million in April to just US$55 million.”
However, despite continued bearishness for short bitcoin, it remained the second best performing asset in terms of inflows YTD at $55 million, albeit in a steady decline, data from the report showed.
Source: CoinShares
ETH leads from the back
With an outflow of $2 million recorded during the reporting period, altcoin leads Ethereum [ETH] emerged as the “assets with the most outflows since the start of the year”.
Source: CoinShares
While the alt’s price saw some growth over the past week, the price growth failed to translate into any inflows for ETH, CoinShares found.
As for other altcoins, Solana [SOL]polygon [MATIC]and Litecoin [LTC] saw a small inflow of “between US$0.5 million, US$0.5 million and US$0.3 million, respectively.”