Crypto Market Sees Record Inflows, Bitcoin Leads with $13.5 Billion Boost

Author : Andrew Stauss | Published On : 10 Apr 2024

Bitcoin has once again demonstrated its dominance in the crypto market with a notable $663 million surge in investments, marking a new yearly record. Coinshares reported a remarkable influx of around $646 million into institutional crypto products last week, propelling year-to-date investments to an unprecedented peak of $13.8 billion, outpacing the total inflows for the entirety of 2021 by nearly 29%. Despite this achievement, the pace of inflows slightly slowed compared to the previous week’s $862 million.

The majority of these investments were directed towards Bitcoin, attracting $663 million. U.S.-based Bitcoin spot exchange-traded funds (ETFs) particularly garnered attention, receiving $483 million in inflows over four net positive days since their approval for trading in early January.

However, Ethereum-linked investment products faced their fourth consecutive week of outflows, totaling $22.5 million. On a more positive note, other major altcoins like Solana and Litecoin defied this trend, recording inflows of $4 million and $4.4 million, respectively.

Despite the overall market growth, total assets under management (AuM) for the digital asset sector experienced a slight decline to $94.46 billion, indicating a 3.5% fall from the preceding week. While this suggests a cooling of market enthusiasm, investor confidence in Bitcoin and select altcoins remains strong.

Notably, CoinShares’ report highlighted a decrease in demand for ETFs compared to the robust activity seen in early March, with ETF volume dropping to $17.4 billion last week from a high of $43 billion in the initial week of March. This fluctuation underscores the dynamic nature of the market and changing investor interests over time.