Ethereum
Bitcoin Investments Surge With $519 Million Inflows, While Ethereum Sees $284.9 Million Outflows
Digital asset investment products saw relatively modest inflows of $245 million last week, reflecting mixed performance across digital assets.
This would have happened despite trading volumes reaching $14.8 billion, the highest level since May, thanks to recent Ethereum ETF launches.
Price appreciation pushed total assets under management (AuM) to $99.1 billion, with year-to-date (YTD) inflows reaching a record $20.5 billion.
Bitcoin Leads Inflows, Ethereum Faces Outflows
According to the CoinShares report, Bitcoin notably led the way with robust inflows of $519 million, bringing its monthly inflows to $3.6 billion and its YTD inflows to a record $19 billion. This increase is attributed to US election commentary positioning Bitcoin as a potential strategic asset reserve asset and increased expectations for a Federal Reserve rate cut in September 2024.
Conversely, Ethereum saw significant outflows of $284.9 million last week. Despite this, Ethereum’s MTD inflows stand at $877.1 million, indicating broader positive sentiment.
Multi-asset funds saw moderate inflows of $8.7 million, while Solana saw a minor outflow of $2.7 million. Other assets such as Litecoin, XRP, Cardano, Chainlink, and Short Bitcoin saw small inflows ranging from $0.3 million to $2.5 million. Notably, “Short Bitcoin” saw a significant inflow of $47 million year-to-date despite recent outflows.
Diversified suppliers attract inbound flows
In addition, the launch U.S. cash-based Ethereum ETFs have attracted substantial market activity, marking the largest inflows since December 2020.
Grayscale Investments LLC/U in particular experienced significant weekly and year-to-date outflows, with the latter reaching $19 billion, reflecting a shift in investor sentiment. iShares ETFs/USA emerged as a dominant player, recording the highest weekly inflow of $1.2 billion and year-to-date inflows of $20 billion. Fidelity ETFs/USA also saw strong inflows across all periods, with weekly inflows of $30 million.
Meanwhile, 21Shares AG and ARK 21 Shares/USA saw moderate inflows, with YTD inflows of $21 million and $2.6 billion, respectively. Bitwise ETFs/USA reported positive YTD inflows of $2.1 billion, suggesting moderate investor interest. CoinShares XBT and Purpose Investments Inc ETF saw outflows, with YTD outflows of $378 million and $450 million, respectively.
US dominates all regional measures
At the regional level, the UNITED STATES The US led all measures, with the highest weekly inflow of $272 million, MTD inflows of $4.3 billion, and YTD inflows of $20.7 billion. The US also had the largest AUM of $76 billion. Germany faced significant outflows across all periods, with a weekly outflow of $59.6 million, an MTD outflow of $75.5 million, and a YTD outflow of $325 million.
Canada, despite a notable outflow of $489 million since the beginning of the year, posted positive weekly and monthly inflows of $2.5 million and $46.5 million, respectively. Switzerland reported strong inflows, particularly monthly inflows of $189.7 million, reflecting positive investor sentiment.
Australia, Brazil and Hong Kong saw overall positive inflows, with year-to-date inflows of $64 million, $168 million and $363 million respectively. Sweden saw outflows in most periods, with a weekly outflow of $2.6 million, a year-to-date outflow of $4.9 million and a year-to-date outflow of $331 million. Other regions contributed moderate inflows, with year-to-date inflows of $17 million, improving overall market diversity.
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