Digital asset investment products recorded $1.1 billion in inflows in the last seven days following a price uptick in the market.
A new CoinShares Digital Asset Funds Flow Weekly Report shows a positive swing in cryptocurrency products for another week as crypto prices record massive weekly gains.
Inflows of US$1.1bn into digital asset ETPs, momentum of inflows into new issuers not slowinghttps://t.co/IERahbmYhO
— James Butterfill (@jbutterfill) February 12, 2024
Market gains have seen the wider market cap hit $1.8 trillion with a daily trading volume of $45.44 billion following Bitcoin (BTC) moving past $48,000 and altcoins posting good numbers.
A weekly inflow of $1.1 billion has brought total net inflows to $2.7 billion this year pushing Assets Under Management to $59 billion, its highest point since the early months of 2022.
The bull run of 2021 spurred assets to all-time highs, with BTC trading above $64,000 and high institutional interest in the market. The bull cycle waned following the collapse of Terra’s stablecoin and FTX which led to significant market setbacks.
As a result, cryptocurrencies saw massive outflows, marking a declined AUM and reduced decentralized finance (DeFi) numbers.
AUM hovered around the $52 billion mark in Q4 2023 and has surged steadily as anticipation for a spot Bitcoin ETF approval by the United States Securities and Exchange Commission (SEC) grew.
As expected, Bitcoin got the majority of inflows with other digital assets notching inflows on the back of the market leader’s price uptick.
BTC investment funds account for 98% of inflows with $1 billion, as analysts predicted positive movements after a spot ETF approval.
Short Bitcoin saw $0.4 million in outflows in the last seven days with bullsRead more on cryptonews.com