From Bitcoin to Altcoins: Crypto Inflows Hit Record $3.1 Billion, Led by Spot ETFs

Samuel Edyme

6 months ago

3 mins read

From Bitcoin to Altcoins: Crypto Inflows Hit Record $3.1 Billion, Led by Spot ETFs

Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Created by industry experts and meticulously reviewed

The highest standards in reporting and publishing

How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

The crypto market witnessed a significant milestone last week as investment products recorded roughly $3.13 billion in net inflows globally, primarily driven by US spot Bitcoin exchange-traded funds (ETFs), according to data from CoinShares.

This surge highlights growing institutional interest and confidence in the crypto market, with Bitcoin leading the charge. CoinShares reveals that the year-to-date net inflows into crypto funds have reached $37 billion, while total assets under management (AUM) soared to a new high of $153 billion.

Bitcoin Takes The Lead, Altcoins Show Growth

The recent inflows mark the seventh consecutive week of positive movements for global crypto investment products managed by leading firms such as BlackRock, Fidelity, Grayscale, and ProShares.

A substantial portion of last week’s inflows, approximately $2.05 billion, originated from BlackRock’s IBIT product, underlining the dominance of US-based funds in the global space. These inflows outpaced the first-year debut of US gold ETFs, which attracted only $309 million.

Bitcoin-based funds were at the forefront of the inflows, contributing $3 billion of the weekly total. This inflow coincided with Bitcoin’s continued price rally, drawing additional interest from institutional and retail investors.

However, the higher prices also spurred a notable $10 million inflow into short-Bitcoin products, bringing the monthly figure for these products to $58 million — the highest since August 2022.

While Bitcoin dominated, altcoins also attracted significant investment. Solana emerged as the second-most popular asset among institutional investors, with net weekly inflows of $16 million, surpassing Ethereum’s $2.8 million.

Crypto asset fund flows. | Source: CoinShares

Other altcoin-based funds also saw notable inflows, with XRP, Litecoin, and Chainlink attracting $15 million, $4.1 million, and $1.3 million, respectively. These inflows suggest growing confidence in the broader altcoin market, driven by price rallies and increasing adoption.

Global Crypto Inflows And Regional Trends

US-based funds’ dominance was evident in regional fund flows, accounting for $3.2 billion in net weekly inflows.

Crypto asset regional fund flows. | Source: CoinShares

However, this was slightly “offset” by outflows from European markets, including $84 million, $40 million, and $17 million from crypto investment products in Sweden, Germany, and Switzerland, respectively.

Despite these regional outflows, the overall trend remains bullish, driven largely by institutional participation in the US market.

Notably, CoinShares’s continuous inflows reflect a combination of factors, including the market’s positive sentiment regarding the bull run and the increasing acceptance of crypto as a legitimate asset class.

The launch of spot Bitcoin ETFs has been a pivotal development. It provides institutional investors with a regulated avenue to gain exposure to digital assets.

As a result, the cryptocurrency market is witnessing a shift toward mainstream adoption, further supported by strong price performance and consistent inflows across various investment products.

Bitcoin (BTC) price chart on TradingView amid crypto fund flows — BTC price is moving upwards on the 1-hour chart. Source: BTC/USDT on TradingView.com

Featured image created with DALL-E, 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.

Disclaimer: The information found on NewsBTC is for educational purposes only. It does not represent the opinions of NewsBTC on whether to buy, sell or hold any investments and naturally investing carries risks. You are advised to conduct your own research before making any investment decisions. Use information provided on this website entirely at your own risk.