Crypto Investment Inflows Reach One-Year High, Reveals CoinShares

Samuel Edyme

2 years ago

3 mins read

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Crypto investment products are once again proving their market allure, with inflows hitting their highest level since July 2022. European asset management firm, CoinShares, noted an influx of $199 million just last week, signaling revived interest from investors in the crypto space.

The surge is seen as a correction, compensating for almost half of the outflows observed in the preceding 9 weeks. CoinShares attributed the surge to recent filings for physically backed ETFs from high-profile issuers. Particularly, the crypto market is evidently witnessing a rebirth of enthusiasm as global asset management giants, such as BlackRock, file for spot Bitcoin ETFs.

Bitcoin Takes The Lion’s Share

In this wave of increased inflows, Bitcoin emerged as the undisputed front-runner. Bitcoin-centric investment products saw inflows of $188 million last week, according to CoinShares.

On the other hand, short-bitcoin continued its trend of nine consecutive weeks of outflows, reaching $4.9 million. These contrasting trends are a testament to Bitcoin’s persistent allure amid market fluctuations.

Ethereum also registered inflows, albeit at a comparatively lesser scale of $7.8 million. CoinShares’ data implies a currently subdued investor appetite for Ethereum as compared to Bitcoin.

Notably, despite the Bitcoin and Ethereum domination, there’s a visible, albeit “very minor”, flow towards alternative cryptocurrencies, such as XRP and Solana. This points to a diverse market interest, even if it doesn’t match the scale of the major cryptos.

The improved market sentiment is also persuading investors towards multi-asset investment ETPs. These ETPs saw an inflow of $8 million last week, which further emphasizes the ongoing diversification of investor interests in the crypto asset class.

Record High For Crypto Assets Under Management

With the increased inflows, the total assets under management (AUM) across fund managers have now also reached $37 billion. This is the highest level noted since before the collapse of Three Arrows Capital. It underscores not just the resilience of the crypto market, but also the continued faith that investors place in it.

It is worth noting that alongside the surge in crypto investment inflows, the crypto market particularly large crypto assets such as Bitcoin and Ethereum has seen a rebound from its losses amid the United States Securities and Exchange Commission (SEC) lawsuit against Binance and Coinbase.

Bitcoin (BTC)’s price chart on TradingView amid crypto news — Bitcoin (BTC)’s price moving sideways on the 4-hour chart. Source: BTC/USD on TradingView.com

In the past day, Bitcoin experienced a slight dip of 0.6%, but its trading price continues to hover above the recently regained $30,000 benchmark. The past week has seen an addition of over $70 billion to Bitcoin’s market cap, boosting it from a low of $514 billion the previous Monday to exceed $580 billion today.

Meanwhile, Ethereum has been on the fence in the last 24 hours with no significant movement. The second-largest asset by market cap currently has a daily trading volume above $8 billion and a market cap of $226 billion.

Featured image from Unsplash, Chart from TradingView

Samuel Edyme

Meet Samuel Edyme, Nickname - HIM-buktu. A web3 content writer, journalist, and aspiring trader, Edyme is as versatile as they come. With a knack for words and a nose for trends, he has penned pieces for numerous industry player, including AMBCrypto, Blockchain.News, and Blockchain Reporter, among others.

Edyme’s foray into the crypto universe is nothing short of cinematic. His journey began not with a triumphant investment, but with a scam. Yes, a Ponzi scheme that used crypto as payment roped him in. Rather than retreating, he emerged wiser and more determined, channeling his experience into over three years of insightful market analysis.

Before becoming the voice of reason in the crypto space, Edyme was the quintessential crypto degen. He aped into anything that promised a quick buck, anything ape-able, learning the ropes the hard way. These hands-on experience through major market events—like the Terra Luna crash, the wave of bankruptcies in crypto firms, the notorious FTX collapse, and even CZ’s arrest—has honed his keen sense of market dynamics.

When he isn’t crafting engaging crypto content, you’ll find Edyme backtesting charts, studying both forex and synthetic indices. His dedication to mastering the art of trading is as relentless as his pursuit of the next big story. Away from his screens, he can be found in the gym, airpods in, working out and listening to his favorite artist, NF. Or maybe he’s catching some Z’s or scrolling through Elon Musk’s very own X platform—(oops, another screen activity, my bad…)

Well, being an introvert, Edyme thrives in the digital realm, preferring online interaction over offline encounters—(don’t judge, that’s just how he is built). His determination is quite unwavering to be honest, and he embodies the philosophy of continuous improvement, or “kaizen,” striving to be 1% better every day. His mantras, “God knows best” and “Everything is still on track,” reflect his resilient outlook and how he lives his life.

In a nutshell, Samuel Edyme was born efficient, driven by ambition, and perhaps a touch fierce. He’s neither artistic nor unrealistic, and certainly not chauvinistic. Think of him as Bruce Willis in a train wreck—unflappable. Edyme is like trading in your car for a jet—bold. He’s the guy who’d ask his boss for a pay cut just to prove a point—(uhhh…). He is like watching your kid take his first steps. Imagine Bill Gates struggling with rent—okay, maybe that’s a stretch, but you get the idea, yeah. Unbelievable? Yes. Inconceivable? Perhaps.

Edyme sees himself as a fairly reasonable guy, albeit a bit stubborn. Normal to you is not to him. He is not the one to take the easy road, and why would he? That’s just not the way he roll. He has these favorite lyrics from NF’s “Clouds” that resonate deeply with him: “What you think's probably unfeasible, I've done already a hundredfold.”

PS—Edyme is HIM. HIM-buktu. Him-mulation. Him-Kardashian. Himon and Pumba. He even had his DNA tested, and guess what? He’s 100% Him-alayan. Screw it, he ate the opp.

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