According to the latest report from CoinShares, crypto asset investment products have reached a historic milestone, with weekly inflows totaling $3.85 billion, surpassing previous records set earlier this year.
CoinShares highlighted a surge in investor interest, pushing total year-to-date (YTD) inflows to $41 billion and assets under management (AuM) to $165 billion – a contrast to previous cycle high in 2021, with YTD inflows of $10.6 billion and AuM peak of $83 billion.
While Bitcoin continued to dominate, Ethereum recorded its largest weekly inflows ever, highlighting the growing demand for major digital assets.
Bitcoin and Ethereum lead inflows
Bitcoin remained a key driver of the record numbers, with $2.5 billion inflows last week. This pushed YTD inflows to $36.5 billion, cementing its status as the leading digital asset. Interesting, short Bitcoin products saw a moderate inflow of $6.2 million.
Historically, higher inflows into short Bitcoin products have been observed following sharp price increases, indicating that investors are being cautious amid Bitcoin’s strong price momentum.
Ethereum emerged as another standout performer, with the largest-ever weekly inflow of $1.2 billion. This increase exceeded the inflows seen during the ETF launches in July.
The increased demand for Ethereum underlines its growing importance in the crypto asset market. However, this growth has come at the expense of Solana, which saw outflows of $14 million for the second week in a row, signaling a possible shift in investor sentiment.
📈Digital asset investment products saw their largest weekly inflows ever last week, totaling $3.85 billion!
This brings total year-to-date (YTD) inflows to $41 billion and total assets under management (AuM) to a new high of $165 billion.#Bitcoin saw an inflow of $2.5 billion, short bitcoin… pic.twitter.com/bAKYga8qKK
— CoinShares (@CoinSharesCo) December 9, 2024
Meanwhile, despite the discrepancy between Bitcoin, Ethereum and Solana fund flows, their recent performance has been quite similar. For example, three of these crypto assets have seen a price drop in the past day.
While BTC is down 1.2% to a current trading price of $99,095, Ethereum is also down 2.6% to a current trading price of $3,894.
On the other hand, Solana is down 3.3% at the time of writing to a current trading price of $229.
Blockchain stocks and regional trends
In addition to cryptocurrencies, blockchain stocks attracted significant interest, with inflows of $124 million – the highest since January 2023.
According to CoinShares head of research James Butterfill, this trend is attributed to increased confidence in Bitcoin miners’ improving profit margins, reflecting a broader positive view of the blockchain sector’s growth potential.
Regionally the United States dominated the influxfollowed by the European and Australian markets. The United States in particular led with an inflow of $3.6 billion, followed by Switzerland, Germany, Canada and Australia with $160 million, $116 million, $14 million and $10 million respectively.
Featured image created with DALL-E, Chart from TradingView