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Bitcoin and Altcoin Investment Products Seen Huge Inflows: Report

Published 12/02/2024, 21:49
Updated 12/02/2024, 22:15
© Reuters.  Bitcoin and Altcoin Investment Products Seen Huge Inflows: Report
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Coin Edition -

  • CoinShares has published its updated report on digital asset investments.
  • Outflows from investment products in Germany and Canada continued.
  • Spot Bitcoin ETFs contributed to further momentum in inflows.

More than $1 billion flowed into the digital asset investment products, recording a substantial gain last week. Digital asset investment products received more than $1.1 billion in inflows last week, according to CoinShares’ latest report.

The increase in inflows coincides with the launch of spot Bitcoin ETFs in the United States, grabbing attention. Notably, Grayscale reported a weekly loss of $414 million despite this huge outflow. On the other hand, BlackRock’s Bitcoin ETF stands out, with inflows exceeding $693 million.

Source: CoinShares

Spot Bitcoin ETFs launched on January 11th caused inflows as high as $2.8 billion. Last week, however, there was a slowed pace of outflows from Grayscale, despite ongoing outflows from Grayscale. Nonetheless, CoinShares commented that potential Genesis assets worth $1.6 billion being put up for sale could lead to even more outflows in the coming months.

In regional terms, Canada and Germany were both affected by outflows worth, respectively, $17 million and $10 million, while Switzerland saw an inflow of $35 million last week.

Bitcoin made up 98% of all inflows, followed by Ethereum and Cardano, with shares constituting 16% and 5%, respectively. Interestingly, ETH products got an influx valued at approximately $16.5 million, while ADA product garnered $6 million, which makes it second only to BTC among such funds in terms of flows within just one month after its launch In addition to these two coins, TRX saw an inflow of about $400,000 and XRP around $300,000 only.

Bitcoin, which experienced price stagnation after the launch of spot Bitcoin ETFs, witnessed a significant price surge at the end of last week, showing signs of revitalization. This resurgence successfully pushed the BTC price above $48,000 and marked the end of low volatility.

Despite this rise, the price of Bitcoin slowed down on Monday, dipping below $48,000. Currently, BTC is trading at $47,920, experiencing a 1% loss in the last 24 hours. The trading volume has settled above $20 billion with a 7% increase.

The post Bitcoin and Altcoin Investment Products Seen Huge Inflows: Report appeared first on Coin Edition.

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