Crypto ETPs hit $44.5b in YTD inflows amid Bitcoin surge
Digital asset investment products recorded a significant surge over the past week, with investors pouring another $3.2 billion into the market.
In its weekly fund flows report, digital asset manager CoinShares says the global crypto exchange-traded products market reached $44.5 billion in inflows year-to-date as the streak of positive flows continued to a 10th consecutive week.
According to CoinShares, inflows into crypto ETPs has recorded a 300% increase over any other year, with the quadruple spike in 2024 also allowing for average volumes of $21 billion a week. About 30% of this ETP volume has been in Bitcoin exchange-traded funds on major exchanges.
“Bitcoin volumes on trusted exchanges (all investment types) is highly liquid, having averaged US$8.3bn a day this year, double that of the FTSE 100,” CoinShares head of research James Butterfill wrote.
Bitcoin records $2 billion in weekly inflows
The surge in inflows into digital asset investment products came as Bitcoin (BTC) held near the psychological $100k level. BTC has since gone on to hit a new high above $106k.
Over the past week, BTC investment products recorded inflows of $2 billion into Bitcoin ETPs. Since the U.S. election, Bitcoin has seen inflows of $11.5 billion to push the total assets under management in ETPs past $135 billion. Comparatively, the global digital asset investment products AUM stood at just over $167.4 billion as of Dec. 13.
Per SoSoValue data, BTC ETFs have seen cumulative net inflows of $35.6 billion as of Dec. 13. The total value traded since the funds launched on U.S. exchanges stood at over $3.1 billion. BlackRock’s iShares Bitcoin Trust has outshone other ETFs with mega net flows.
Ethereum, XRP also see inflows
Ethereum (ETH), predicted to surpass BTC in ETFs inflows in the next year, is on a seven-week streak of positive inflows with $1 billion in the past week and $3.7 billion in this period.
Among top altcoins, XRP (XRP) recorded inflows of $145 million last week and Polkadot (DOT) and Litecoin (LTC) products attracted $3.7 million and $2.2 million respectively.
For XRP, interest from institutional investors has increased since Trump’s win and as experts point to a potential approval for XRP ETFs by the U.S. Securities and Exchange Commission. Analysts have noted that Ripple’s launch of its stablecoin RLUSD, pegged 1:1 to the U.S. dollar, could be another catalyst for XRP as cross-border payments adoption picks momentum.
Prices of these altcoins have increased in the past several weeks, with BTC’s spike also impacting crypto stocks such as MicroStrategy.
