US Bitcoin ETFs Drive Over $1B Inflows for Global Crypto Investment

The U.S. has dominated the global crypto investment market, with inflows exceeding $1 billion, largely buoyed by Bitcoin.

According to CoinShares’ latest market analysis, crypto investment products have experienced a positive influx of capital for the second consecutive week. Specifically, crypto investments saw a total inflow of $932 million last week, led by Bitcoin.

Remarkably, CoinShares indicated the surge in inflows to crypto investment products was largely in response to the “lower-than-expected” U.S. CPI report released last Wednesday.

The report underscored that 89% of these inflows occurred in the last three trading days of the week. CoinShares analysts noted that the trend further affirms the renewed correlation between Bitcoin prices and interest rate expectations.

However, the report highlighted that, although there has been an increase in investment inflows, the trading volumes for the week pale to existing records. In particular, volumes stood at $10.5 billion for the week, significantly lower than the $40 billion recorded in March.

U.S. ETF Market Led with $1B+ Inflow

In the regional breakdown, the U.S. ETF market took the lead, with inflows exceeding $1 billion last week. Grayscale, which has faced $16.6 billion in outflows since the introduction of a Bitcoin ETF in January, experienced its first minor inflows, amounting to $18 million.

In other regions, Switzerland and Germany reported the most significant inflows after the U.S. Market. Specifically, Switzerland recorded a positive flow of $27 million, while Germany saw $4.2 million. 

Conversely, Hong Kong and Canada experienced the most significant outbound, registering negative flows of $83 million and $17 million, respectively.

Bitcoin Led Flows with $942 Million 

Regarding individual crypto, Bitcoin led the market by attracting $942 million in inflows last week. Notably, a negligible amount went into short Bitcoin positions, suggesting an optimistic sentiment among investors. 

Also, various altcoins experienced more modest inflows in their respective investment products. Specifically, investment products related to Solana (SOL), Chainlink (LINK), and Cardano (ADA) received $4.9 million, $3.7 million, and $1.9 million, respectively.

At the same time, Ethereum-based investments saw over $23 million outflows. CoinShares noted that Ethereum investments faced a bearish outlook due to the U.S. SEC’s impending decision on Ethereum spot-based ETF.