Weekly Digital Asset Investment Overview

Last week, digital asset investment products saw inflows totaling $176 million—with ether attracting $155 million and short bitcoin exchange-traded products witnessing large outflows.

According to CoinShares’ latest report, investors viewed last week’s price weakness as a buying opportunity, benefiting ether the most.

In contrast, outflows from short bitcoin ETPs were the largest since May 2023, resulting in assets under management for such products falling to their lowest level of the year, indicating a “substantial investor exit.”

Overall, trading activity in ETPs was significantly higher than normal, reaching $19 billion for the week. For comparison, the weekly average for 2024 so far is $14 billion.

Last week’s volatility has apparently led to “unanimous positive sentiment towards the asset class,” with inflows observed across all regions—the United States, Switzerland, Brazil, and Canada being the most notable.

Unsurprisingly, ether products’ year-to-date inflows are the highest since 2021, attributed to the newly launched spot ether exchange-traded funds in the U.S.

However, the crypto market has started this week in the red. The price of Bitcoin (BTC) is down 4.5%, while ether has decreased by 3.6%. The GM30 Crypto Index is down 4.7%.