Digital asset investment products have witnessed an impressive influx of $321 million for the second week in a row, as detailed in a recent report by Coinshares. This increase in inflows is primarily linked to the Federal Open Market Committee’s (FOMC) decision to lower interest rates by 50 basis points (bps).
**Coinshares: U.S. Dominates Digital Asset Inflows**
The latest analysis from Coinshares highlights that bitcoin (BTC) played a pivotal role in this influx, attracting $284 million, which indicates a surge in investor interest following the Federal Reserve's more accommodating monetary policy. The report, spearheaded by Coinshares’ research head, James Butterfill, also observed a rise in short-bitcoin investment products, which garnered inflows of $5.1 million.
These numbers imply that some investors are bracing for possible declines in bitcoin’s value, even amidst the prevailing positive atmosphere. Nevertheless, not all digital assets reaped the benefits of this market activity. Ethereum, for instance, marked its fifth consecutive week of outflows, shedding $29 million. However, on the spot market, ETH has enjoyed more significant price gains since the rate cut.
Further insights from Coinshares reveal ongoing outflows from the Grayscale Trust and a modest influx from newly launched exchange-traded funds (ETFs). In contrast, Solana has continued to attract a steady stream of inflows, totaling $3.2 million last week. Geographically, inflows varied significantly, with the U.S. leading at $277 million, while countries such as Germany, Sweden, and Canada experienced outflows.
What are your thoughts on this week’s trends in digital asset fund flows? We invite you to share your opinions and insights in the comments section below.