Friday, September 24, 2021
Home Crypto News Analysis Cryptocurrency Inflows At All-Time High In First-Quarter Reaching $4.5 Billion

Cryptocurrency Inflows At All-Time High In First-Quarter Reaching $4.5 Billion

- Advertisement -

Investments in cryptocurrency funds and products reached $4.5 billion in the first quarter of 2021, indicating a continued increase in investment by institutional investors.

According to a report by Coinshares published on Reuters, investments in cryptocurrency funds and products increased by 11% from $3.9 billion last quarter to $4.5 billion in the first three months of this year.


However the growth of investment in cryptocurrencies in the first quarter of 2021 slowed down compared to the fourth quarter of the last year. The fourth quarter of 2020, investments in the cryptocurrency sector increased by 240% compared to the third quarter of 2020.

Coinshares Said:

“indicative of a broader slowing trend, as quarterly growth rates tend to be highly varied.”

At the beginning of this week, cryptocurrency market capitalization broke the $2 trillion mark, and the market capitalization of Bitcoin went above $1 trillion.

The largest inflow of investments in the first quarter was in BTC – $3.5 billion, followed by ETH with $765 million.

The volume of crypto assets under management also rose to a new high of $59 billion. Last year, this figure was $37.6 billion.

Of the $59 billion in assets under management, active investment managers represented just 1.5% of total assets under management, down from 3.6% at the start of the fourth quarter last year.

Grayscale is still the largest crypto asset manager with $46.1 billion under management. CoinShares, Europe’s second-largest digital asset manager, controls about $5.1 billion worth of crypto assets.

Merchant token ico

At the end of March, CoinShares presented a weekly report on investments of financial institutions in cryptocurrency products, noting that new investments of institutional investors in Bitcoin fell to the level of October 2020.

The cryptocurrencies volatility is often cited as one of the reasons why Wall Street investors shy away from investing in Bitcoin. However, JPMorgan analysts believe that the indicator will normalize and attract more institutional investors.

 

- Advertisement -
Albert Brownhttps://thecryptobasic.com/
Albert Brown has obtained his master's degree in Stock Trading And Investing. His specialty is analyzing the price actions of crypto and stock markets. Albert provides a major role in TheCryptoBasic as a crypto analyst. He is also known for his work on Twinkle Magazine and TipRanks.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

- Advertisment -

Recent News & Articles

Twitter rolls out tips feature globally and adds bitcoin tipping via Lightning

After rumors swirled earlier this month, social media platform Twitter has officially rolled out its tips function worldwide — with a bitcoin integration included...

Biden Plans To Nominate A Major Critic Of Cryptocurrencies As A Top Wall Street Regulator

President Joe Biden may nominate a law professor famous for criticizing the cryptocurrency industry and cheering for the increased role of government in the banking and financial...

Bitcoin.Org Hacked By Scammers For Promoting Bitcoin Giveaways

Bitcoin.org, the first bitcoin educational website that was created in 2008, is believed to be in danger of being hacked for promoting untrue bitcoin...

Crypto Market Recovery In Process As China Injects $18.6 Billion to Bail Out Evergrande

Chinese real property giant Evergrande has defaulted on its debt payment, and fear of company’s payment default has resulted in an unintentional drop in...

Robinhood Bringing Long-Awaited Cryptocurrency Wallet And Transfer Features

Robinhood announced on Wednesday that it has implemented their long-awaited cryptocurrency wallet as well as transfer capabilities to enable customers to transfer and receive...

Here Is First Indication of Appearing Selling Pressure From Large Bitcoin Holders

According to data provided by OkLink, the number of large transactions rapidly spiked during the recent sell-off, which may be the first indication of appearing selling pressure from...

Is Crypto Investing legal in India? Here’s everything you need to know

Investments in cryptocurrency have gained a lot of momentum recently. At the beginning of the second quarter of FY’21-22, there were approximately 15 million...

Subscribe To Our Newsletter

Get Updated with All The latest Crypto News, Articles, Reviews, Analysis and much more. Delivered Every Monday.