Digital Assets Saw Inflows of $136M Last Week

Takeaways

• Digital asset investment products saw US$136m of inflows last week bringing the last 3 consecutive weeks inflows to US$470m, fully correcting the prior 9 weeks of outflows
• Bitcoin remains the focus amongst investors, with inflows totalling US$133m last week, while short-bitcoin saw outflows of US$1.8m.
• Blockchain equities saw the largest inflows for a year, totalling US$15m.

Digital asset investment products saw US$136m of inflows last week bringing the last 3 consecutive weeks inflows to US$470m, fully correcting the prior 9 weeks of outflows, bringing year-to-date flows to a net positive US$231m. Trading turnover has slowed though, with investment products totalling US$1bn for the week compared to US$2.5bn average in the prior 2 weeks. These lower volumes may be due to the seasonal effects, where lower volumes are typically seen during July and August.

Bitcoin remains the focus amongst investors, with inflows totalling US$133m last week, while short-bitcoin saw outflows of US$1.8m, its 11th consecutive week, further demonstrating investors favour the asset over altcoins at present.

Ethereum saw inflows totalling US$2.9m last week, but has only marginally benefitted from improved investor sentiment. The last 3 weeks of inflows represent just 0.2% of total assets under management (AuM) compared to Bitcoin’s 1.9%, and remains in a negative net flows position year-to-date of US$63m. Despite this, short-Ethereum did see minor outflows of US$0.3m.

A range of altcoins saw inflows into Solana, XRP, Polygon, Litecoin & Aave, while both Cosmos and Cardano saw minor outflows.

Blockchain equities saw the largest inflows for a year, totalling US$15m.

Contact James Butterfill at [email protected]