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Digital Asset Investments Skyrocket: Bitcoin Dominates With $188M Inflows

Published 26/06/2023, 15:50
© Reuters Digital Asset Investments Skyrocket: Bitcoin Dominates With $188M Inflows

Benzinga - Digital asset investment products have experienced their largest single-week inflows since July 2022, amounting to $199 million, according to a report.

This surge has nearly offset the outflows observed in the previous nine consecutive weeks, Coinshares stated in a blog post.

The report suggests that this renewed positive sentiment is likely due to recent announcements from prominent Exchange-Traded Product (ETP) issuers that have filed for physically backed ETFs with the U.S. Securities and Exchange Commission.

As a result, total assets under management (AUM) have now reached $37 billion, the highest level since before the collapse of 3 Arrows Capital.

Bitcoin (CRYPTO: BTC) emerged as the primary beneficiary of this trend, with inflows of $188 million last week, accounting for 94% of the total flows.

Also Read: Is Bitcoin Becoming An Election Issue? 2 Presidential Candidates Chime In

In contrast, short-Bitcoin saw outflows for the ninth consecutive week, totaling $4.9 million.

The cumulative outflows over these nine weeks represent 60% of the total AUM.

Ethereum (CRYPTO: ETH) also saw inflows, albeit at a much lower scale, with $7.8 million, representing just 0.1% of AUM relative to Bitcoin’s inflows at 0.7%.

This suggests that the current appetite for Ethereum is lower than that for Bitcoin.

The shift in sentiment did not significantly impact altcoins, with only minor inflows into Ripple (CRYPTO: XRP) and Solana (CRYPTO: SOL) totaling $0.24 million and $0.17 million respectively.

However, the improved sentiment did prompt some investors to purchase multi-asset investment ETPs, which saw inflows of $8 million last week.

Read Next: Bitcoin ETFs: The Game-Changing Move That Could Skyrocket Crypto To All-Time Highs

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© 2023 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.

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