Crypto Funds Rebound: $103M Weekly Inflows Led by Bitcoin
According to CoinShares, cryptocurrency investment products experienced a total of $103 million in inflows for the week that ended on December 22. This represents a reversal of the $16 million in outflows that occurred during the previous week.
There have been a total of twelve weekly inflows into cryptocurrency exchange-traded products (ETPs) during the course of the past thirteen weeks.
Investors poured more than $87.6 million, or 85 percent of the total, into Bitcoin funds, making it the cryptocurrency with the highest outflows. The cryptocurrency ether came in a distant second, with inflows totaling $7.9 million.
LTC and AVAX exchange-traded funds (ETPs) reported net outflows of $400,000 and $2.6 million, respectively, deviating from the general trend. As a percentage of the total, Germany had the highest inflows of any country, accounting for slightly more than forty percent of the total. The second-largest was Canada, which accounted for 25 percent of the total.
The United States of America contributed twenty percent, and Switzerland contributed approximately fifteen percent. There is a strong indication that the current bull market for crypto fund products started during the week after September 29.
Prior to that, cryptocurrency funds had experienced withdrawals for eight of the nine weeks that had just passed. In earlier reports, CoinShares suggested that traders’ anticipation of spot Bitcoin exchange-traded funds (ETFs) soon being allowed in the United States may be the cause of the current string of inflows.
Traders have speculated about the recent string of inflows. If this occurs, there will likely be an increase in demand for cryptocurrency funds, especially Bitcoin.
There was a net total of $346 million in inflows during the week that ended on November 24th, which was the highest amount of any of the 13-week periods. Despite the fact that flows have significantly slowed down since then, the fundamental trend continues to be good.