Bitcoin Dominates with $1.97B as Digital Assets Inflows Hit Record Levels

Digital asset investment products saw $2 billion inflows last week, led by $1.97 billion capital flow from Bitcoin and $69 million from Ethereum. 

Citing data from CoinShares, Chinese reporter Colin Wu noted that last week marked a milestone for digital asset investment products, which saw substantial inflows amounting to $2 billion. 

This surge has contributed to a five-week cumulative inflow of $4.3 billion. The trading volumes in Exchange-Traded Products (ETPs) increased to $12.8 billion, a 55% rise from the previous week.

Last week, digital asset investment products saw inflows totaling $2 billion, bringing the total inflows over the past five weeks to $4.3 billion. Bitcoin saw inflows of $1.97 billion. Ethereum saw its largest inflow week since March, totaling $69 million.https://t.co/L0EmvLF6Ye

— Wu Blockchain (@WuBlockchain) June 10, 2024

Bitcoin Dominates with Massive Inflows

Bitcoin continues to be the focal point of these investments, registering $1.97 billion in inflows for the week. This notable influx has helped push the total assets under management (AuM) above the $100 billion mark for the first time since March. 

Interestingly, there has been a consistent decline in outflows from traditional investment providers, indicating a shift in market sentiment. This shift is attributed to weaker-than-expected macroeconomic data from the U.S., which has led to anticipations of earlier-than-expected monetary policy rate cuts.

Short-bitcoin products, however, experienced outflows for the third consecutive week, totaling $5.3 million. Regionally, the U.S. dominated the inflows last week, contributing $1.98 billion, with one day recording the third-largest daily inflow on record. The iShares Bitcoin Trust notably outperformed the longstanding Grayscale fund, now boasting $21 billion in AuM.

Ethereum Sees Significant Inflows 

Meanwhile, last week, Ethereum had its most significant week of inflows since March, totaling $69 million. This surge is likely in response to the SEC’s unexpected approval of spot-based ETFs. 

This regulatory decision is expected to channel substantial capital into the Ethereum market, potentially driving its price higher. VanEck, a leading asset manager, has projected Ethereum to reach a price of $22,000 by 2030, driven by a sixfold increase in price per unit and a $66 billion cash flow.

This optimism is reinforced by the positive market response to the recently introduced spot Bitcoin ETFs, which have collectively attracted $15.69 billion in net inflows since January.

While Bitcoin and Ethereum dominated the headlines, other crypto assets also saw minor yet noteworthy activity. Fantom and XRP stood out, with inflows of $1.4 million and $1.2 million, respectively.