Digital asset investment products have seen a surge of $2 billion in inflows, marking a strong five-week streak that now totals $4.3 billion. Coinshares reports that this increase aligns with rising trading volumes and changing expectations around monetary policy.
A record-breaking week for digital assets was sparked by the approval of a U.S. Ethereum ETF, leading to a $2 billion surge in trading volumes for exchange-traded products (ETPs). Researcher James Butterfill from Coinshares attributes this growth to weaker macroeconomic data in the U.S., prompting investors to anticipate earlier rate cuts.
In a significant development, bitcoin (BTC) saw inflows of $1.97 billion, while ethereum (ETH) had its highest week of inflows since March, totaling $69 million. These movements were driven by the unexpected decision of the Securities and Exchange Commission (SEC) to allow spot-based ETFs, signaling a notable shift in regulatory attitude towards ether.
The U.S. dominated the inflow landscape regionally, with $1.98 billion added to digital asset investment products. Coinshares' report highlights that Blackrock’s Ishares spot bitcoin ETF has now surpassed the Grayscale Bitcoin Trust (GBTC), with assets under management (AUM) reaching $21 billion. Despite the positive overall trend, short-bitcoin products saw outflows for the third consecutive week, totaling $5.3 million, according to Butterfill's analysis.
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