Crypto Investment Products See Third Straight Week of Inflows, Surpassing $3 Billion in July
Crypto investment products continue to see strong inflows, with the latest weekly report from CoinShares revealing that inflows reached $1.35 billion last week. This marks the third straight week of inflows, pushing the total for July to over $3 billion.
One notable trend is the significant increase in ETP trading volumes, which rose by 45% week-on-week to $12.9 billion. Despite this surge, ETP trading volumes only account for 22% of the overall crypto market volume.
Bitcoin-related products led the inflows, contributing 95% of the total with $1.27 billion. BlackRock’s IBIT and Fidelity’s FBTC were the top performers, with their BTC ETFs attracting nearly $1 billion in inflows last week.
On the other hand, short-bitcoin ETPs saw outflows of $1.9 million, bringing total outflows since March to $44 million. This represents 56% of assets under management (AuM).
James Butterfill, head of research at CoinShares, noted that the positive investor sentiment towards Bitcoin has been enduring since the halving event in April.
Ethereum-related products also saw positive movement, with $45 million in inflows last week. This brought its year-to-date inflows to $103 million, surpassing Solana.
The rise in Ethereum inflows is attributed to the anticipated launch of spot exchange-traded funds (ETFs). The Chicago Board Options Exchange (Cboe) recently announced that five Ethereum-related products will start trading on July 23, pending regulatory approval.
Solana saw $9.6 million in inflows last week but lags behind Ethereum with $71 million year-to-date. Other altcoins like Litecoin, Chainlink, Cardano, and Binance also saw inflows.
Despite most blockchain equities outperforming world equity indices, they faced outflows of $8.5 million last week.
Regionally, the US and Switzerland saw significant inflows of $1.3 billion and $66 million, respectively. In contrast, Brazil and Hong Kong experienced minor outflows.
Overall, the crypto investment market continues to show resilience and strong investor interest, with Bitcoin and Ethereum leading the way in attracting inflows.
