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cryptocurrency June 4, 2024
  • Year-to-date inflows into crypto products have surpassed $15 billion.
  • Ethereum recorded its second week of inflows.

Digital asset investment products recorded inflows totaling $185 million last week, marking the fourth consecutive week of inflows, digital asset investment firm CoinShares found in its new report.

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Although this marked an 82% decline from the $1.05 billion recorded in inflows the previous week, it still pushed May’s inflows to $2 billion. Also, it brought the year-to-date (YTD) inflows into cryptocurrency funds above the $15 billion mark.

According to the digital asset investment firm, trading volumes declined during the week under review. They totaled $8 billion, a 38% drop from the $13 billion registered the previous week

At the end of the week, as observed by CoinShares, the total assets under management (AUM) for crypto-based investment products were above $97 billion. This was a 1.3% decline from the $98.43 billion recorded the previous week

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Regionally, most of last week’s flows into crypto funds came from the U.S. According to CoinShares:

“The majority of inflows were from the US, seeing a net US$130m, although incumbent ETF issuer outflows rose to US$260m. Switzerland saw its second largest week on inflows this year at US$36m, while Canada saw a turnaround with inflows of US$25m despite seeing a net outflow in May totaling US$39m.”

Luck smiles on Ethereum

Since the U.S Securities and Exchange Commission (SEC) approved the first set of applications for spot Ethereum [ETH] exchange-traded funds (ETFs) from Grayscale, Bitwise, iShares, VanEck, Ark Invest, Invesco, Fidelity, and Franklin Templeton on 22nd May, ETH-based products have recorded significant inflows.

The week under review was the same. According to CoinShares’ report, Ethereum-backed products recorded their second week of inflows, which amounted to $34 million.

This represented 18% of all inflows recorded during that period. Also, last week’s liquidity flows into Ethereum pushed the altcoin’s YTD inflows to $11 million.


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CoinShares said:

“This represents a turnaround in investor sentiment in an asset that had seen a 10-week run of outflows prior, totaling US$200m.”

CoinShares found that last week’s inflows in Ethereum impacted Solana [SOL] due to the statistically positive correlation between them. 

“This positive news for Ethereum has also had an impact on Solana, which saw a further US$5.8m inflow last week.”

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