Bitcoin Dominates As Crypto Investment Surges To $1.1 Billion: CoinShares Report

The fast-moving world of crypto investments had a record-breaking week for inflows, with a massive $1.1 billion flooding into digital asset investment products last week. Data from CoinShares showed the lion’s share, 98%, of this tidal wave of investment, was gobbled up by the ever-dominant Bitcoin.

This surge in inflows marks a substantial uptick, bringing the year-to-date total to a solid $2.7 billion. This hike in investment, alongside the price hikes, has seen the total assets under management (AuM) reach levels not seen since the beginning of 2022, sitting comfortably at $59 billion.

🟢 Digital assets start the week with US$1.1bn inflows!
AuM is at its highest level since early 2022, at US$59bn.

– ETFs dynamics –

📈 The momentum of inflows into new issuers is not slowing down. Newly issued US spot-based Bitcoin ETF now total US$2.8bn inflows since their… pic.twitter.com/kGqVU6jX62

— CoinShares (@CoinSharesCo) February 12, 2024

Bitcoin Reigns Supreme

The issuance of new spot-based Bitcoin Exchange-Traded Funds (ETFs) continues to attract investment interest, with the United States squarely in the spotlight. On its own, last week alone brought in a staggering $1.1 billion, swelling its coffers to an impressive $2.8 billion since its launch on January 11th. The selling pressure from the existing players has tapered off but there is scope for the offloading of Genesis holdings of a huge $1.6 billion to inject some volatility into the market in the next few months.

The picture was mixed across the globe. There were minor outflows of $17 million and $10 million in Canada and Germany, respectively. But a healthy inflow of $35 million was registered for Switzerland. Bitcoin continued to lead as it took almost all inflows, though Ethereum and Cardano also saw inflows in sentiment worth $16 million and $6 million, respectively.

Smaller players meanwhile, like Avalanche, Polygon, and Tron had slight inflows of $0.5 million, $0.4 million, and $0.4 million, respectively. Others didn’t get to ride the wave of success though. Outflows were seen in Uniswap and Short-bitcoin by minor amounts totaling $0.5 million and $0.4 million, respectively.

On the other hand, the story with blockchain equities is completely different in its own kingdom. One issuer had substantial outflows amounting to $67 million, while total inflows for other issuers equaled $19 million.

However, these ebbs and flows in investor sentiment and capital flows reinforce the dynamic nature of the cryptocurrency market is still growing. With more interest now being built by institutions and regulatory landscapes changing, navigating the crypto waters remains about as thrilling and unpredictable as it ever was.