Crypto Funds Extend Positive Streak With $321M Weekly Inflows

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Crypto investment products have continued to receive heightened investor interest as the funds recorded their second consecutive week of inflows.

According to a report by the crypto investment firm CoinShares, global digital asset funds posted a total of $321 million in inflows last week. This figure, however, is slightly lower than the $436 million recorded the previous week.

Per the report, inflows into US-based funds made up a significant portion of the total amount recorded, with $277 million in inflows. It was followed by Switzerland with $63 million, marking its second-largest inflows this year.

Germany, Sweden, and Canada, however, did not record any growth as the trio saw outflows of $9.5 million, $7.8 million, and $2.3 million, respectively.

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Dovish Stance Boosts Inflows

CoinShares believes that the inflow streak was largely influenced by the US Federal Reserve’s (Fed) decision to implement a 50 basis point interest rate cut last week. The move fueled increased investments in cryptocurrencies and other high-risk assets.

Consequently, crypto funds saw a 9% spike in their total assets under management (AUM). Additionally, total investment product volumes reached $9.5 billion, up 9% from the previous week.

Bitcoin Leads the Surge

According to CoinShares, BTC-based funds were the primary beneficiaries of the inflows last week, with $284 million in inflows. The report added that short-bitcoin investment products saw $5.1 million in inflows as investors also took advantage of bitcoin’s recent price movement.

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On the other hand, Ethereum funds have continued to underperform Bitcoin funds. The funds continue to record outflows for the fifth consecutive week, with $29 million outflows last week.

CoinShares noted that the outflow streak from ETH funds was due to persistent outflows from Grayscale’s Ethereum Trust (ETHE) as well as limited inflows from newly issued ETFs.

Meanwhile, Solana investment products have maintained small but steady weekly inflows, with the funds recording $3.2 million in inflows last week.

The post Crypto Funds Extend Positive Streak With $321M Weekly Inflows appeared first on BitcoinLinux.

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Author: NixCoin

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