The inflow of funds into cryptocurrency investment products has broken all previous records, with an unprecedented weekly influx of $3.85 billion, as indicated by the most recent report on digital asset flows from CoinShares.
This surge has pushed year-to-date inflows to an impressive $41 billion, with assets under management (AuM) reaching a staggering $165 billion.
Remarkably, these numbers indicate that the inflows have far exceeded the previous records set in 2021, which saw total inflows of $10.6 billion and AuM of $83 billion.
Performance of Bitcoin and Ethereum
Notably, investment products focusing on Bitcoin attracted $2.56 billion in inflows, while those centered on Ethereum saw a historic $1.15 billion influx, highlighting the increasing interest in top cryptocurrencies.
The report highlighted that,
“Bitcoin received inflows of US$2.5bn, bringing year-to-date total inflows to US$36.5bn. In contrast, short bitcoin products saw modest inflows of US$6.2m. Historically, higher inflows follow sharp price increases, indicating that investors remain cautious about betting against the recent strong price trend.”
At the latest update on CoinMarketCap, BTC was priced at $97,270.30, showing a 1.27% decline in the last 24 hours.
ETH, on the other hand, was trading at $3,697.06, experiencing a 4.08% drop in the same period.
Attention on XRP
Furthermore, investment products related to XRP, the token of the XRP Ledger by Ripple, recorded significant inflows of $134.3 million last week, almost half of the year-to-date total of $275 million, as reported by CoinShares.
Despite this, XRP’s price surged by over 11% in a week, peaking near $2.65 before undergoing corrections across the market.
Over the recent month, the cryptocurrency displayed massive growth, climbing by 337% from around $0.55 to a peak of $2.9.
Currently, XRP is trading at $2.16, showing resistance as its price dropped by 9.75% in the last 24 hours, according to CoinMarketCap.
Exploring Other Cryptocurrency Investment Products
Investment products for Cardano’s ADA continued to attract significant interest, receiving $5.2 million in inflows, contributing a quarter to the total inflows for these assets throughout the year.
Additionally, altcoins like Binance [BNB], Litecoin [LTC], and Chainlink [LINK] also garnered notable investments, with inflows ranging from $0.7 million to $2.2 million.
A diverse market sentiment was reflected in the inflows of $6.2 million into short Bitcoin products.
However, some altcoins experienced outflows, with multi-asset investment products and Solana [SOL]-focused offerings reporting net outflows of $6.3 million and $14.1 million, respectively.