CoinShares’ recent weekly inflow report suggests a remarkable rise in investor interest in digital asset investment offerings, with Bitcoin spearheading this surge.
An upswing in exchange-traded funds (ETFs) activities has prompted the highest weekly inflow into digital asset investment products since July 2022, as disclosed in CoinShares’ June 26 report.
In the week from June 19 to 23, total inflows amounted to $199 million, ending a nine-week series of consecutive outflows. Bitcoin BTC, priced at $30,518, dominated these inflows, accounting for $187 million or 94% of the total.
CoinShares analysts associated this turnaround to the amplified activities of exchange-traded product (ETP) issuers in the ETF arena:
“We consider this restored positive sentiment a response to the latest announcements from renowned ETP issuers filing for physically backed ETFs with the US Securities & Exchange Commission.”
As reported by Cointelegraph on June 23, Bitcoin hit a 2023 high of $31,431 last week — a development largely ascribed to institutional interest in ETFs. Both BlackRock and Fidelity Investments filed for spot Bitcoin ETFs in June.
The surge in Bitcoin inflows somewhat influenced Ether ETH (priced at $1,869), resulting in inflows of $7.8 million. However, altcoins didn’t experience a similar trend, with only minor inflows observed for XRP (XRP $0.48) and Solana (SOL $16) at $240,000 and $170,000, respectively.
The ProShares Bitcoin Strategy ETF — BITO, a Bitcoin futures fund — also made headlines last week with its highest weekly inflow in a year, at $65.3 million, elevating its assets to $1 billion.
These rallies follow Bitcoin’s drop below $25,000 in June for the first time since mid-March, subsequent to lawsuits filed against Binance and Coinbase by the United States Securities and Exchange Commission for alleged irregularities.
Bitcoin’s high of $31,431 last week not only halted a nine-week outflow streak for crypto assets but also established three new national cryptocurrency-based records. As reported by Cointelegraph on June 25, Bitcoin hit its highest-ever levels against local currencies in Argentina, Venezuela, and Lebanon.