Digital asset investment products recorded an impressive inflow of $646 million last week, signalling strong positive sentiment within the sector. Year-to-date inflows have reached a historic high of US$13.8 billion, exceeding the full-year figure of $10.6 billion from 2021. Despite the continued influx of capital, there’s a noticeable moderation in the enthusiasm from ETF investors.
According to a CoinShares report, Bitcoin continues to captivate investors’ interest, with an inflow of $663 million, overshadowing the rest of the market. Meanwhile, Ethereum has experienced its 4th consecutive week of outflows, totalling $22.5 million. The market for short-Bitcoin products also shows signs of a downturn, with outflows of $9.5 million for the third successive week.Â
Altcoins Experience Mixed Fortunes
In contrast to Ethereum, other altcoins are on an uptrend, with Litecoin, Solana, and Filecoin enjoying inflows of $4.4 million, $4 million, and $1.4 million, respectively. The investment patterns indicate a diversifying interest as participants continue to invest in alternative digital assets.Â
The United States leads regional inflows with an additional US$648 million. Positive investment sentiment was also noted in Brazil, Hong Kong, and Germany, with inflows of US$10 million, US$9 million, and $9.6 million, respectively. On the other hand, Switzerland and Canada buck the trend, with outflows amounting to $27 million and $7.3 million, respectively.
Though investment inflows are at an all-time high, the weekly trading volume suggests investors are cautious. The reported figures show a decline to $17.4 billion last week from a high of $43 billion in early March, reflecting a tempered but persistent confidence in digital asset funds.
