The latest data from crypto asset manager CoinShares has shown a noticeable comeback for the cryptocurrency market. In its latest “Weekly Digital Asset Fund Flows Report,” the asset manager revealed Last week saw a significant escalate in investor confidence as digital asset investment products saw $176 million inflow.
According to James Butterfill, head of research at CoinShares, this escalate in inflows signals a mighty, “unanimous” positive sentiment across the board, with particular emphasis on Ethereum-based funds.
Crypto Fund Flow Analysis
Delving deeper into the report, Butterfill revealed that Ethereum products “clearly” stood out, attracting $155 million of the total inflow, the highest inflow this year since 2021.
According to Butterfill, this influx indicates renewed interest in the Ethereum market, especially in lithe of the recent launch of Ethereum-based ETFs in the United States.
It is worth noting that the successful live trading of these funds has not only strengthened Ethereum’s position in the global cryptocurrency market but also appears to have played a key role in the overall growth in market capitalization and investment product offerings.
As for Bitcoin, Butterfill revealed in a report that despite outflows at the beginning of the week, Bitcoin could end the week with a positive inflow of around $13 million.
On the other hand, short-term Bitcoin ETPs were reported to have “recorded their largest outflows since May 2023, totaling $16 million (23% of AuM), which reduced the AuM for short positions to its lowest level since the beginning of the year, indicating significant investor withdrawal.”
Coinshares further revealed that despite initial volatility, the overall market sentiment was “overwhelmingly” positive. The report emphasizes that the inflows were not just isolated incidents, but part of a broader, global positive reception to digital assets.
Notably, regions such as the United States, Switzerland, Brazil, and Canada led the way, injecting significant capital into the market. It is worth noting that this global share of inflows underscores the collective bullish outlook despite previous huge declines.
Market Performance: ETH and BTC
Bitcoin and Ethereum are struggling to beat the bears, with prices of both assets still holding above key levels.
For exampleAt the time of writing, Ethereum is still trading above $2,500, at a current trading price of $2,689. This price level is at odds with the asset’s significant gain of over 11% over the past week and an extended bull run of 1.6% growth over the past day.
Bitcoin has also seen a significant escalate in value over the past week, increasing its value by 11.4%. Although the asset is down 0.4% in the past 24 hours, it still remains below $60,000.
Featured image created with DALL-E, chart from TradingView
