Bitcoin Dominates $921 Million Inflows as Ethereum Sees First Outflows in Weeks

Key Insights:

  • Digital asset investment products saw $921 million in net inflows last week.
  • Bitcoin led the way with $931 million in inflows, outperforming Ethereum.
  • Ethereum saw $169 million in outflows, ending a five-week streak of inflows.
  • Solana and XRP experienced cooling flows ahead of US ETF launches.

Digital Asset Investment Products Attract $921 Million in Inflows

Last week, digital asset investment products recorded a total of $921 million in net inflows. Bitcoin dominated with $931 million in inflows, contributing significantly to the overall figure. The influx in digital asset products follows a period of uncertainty, which was eased by lower-than-expected U.S. Consumer Price Index (CPI) data.

This release has contributed to renewed investor confidence, fueling inflows into digital assets. The inflows were heavily driven by U.S. investors, who contributed $843 million. Germany also showed strong participation, with inflows of $502 million. 

However, Switzerland recorded outflows of $359 million, although these were attributed to asset transfers rather than actual selling pressure. Trading volumes in exchange-traded products (ETPs) reached $39 billion, surpassing the year-to-date weekly average of $28 billion.

Bitcoin Leads Inflows While Ethereum Faces Outflows

Bitcoin’s strong inflows of $931 million highlight its continued dominance in the digital asset market. Since the U.S. Federal Reserve began lowering interest rates, Bitcoin has seen a cumulative inflow of $9.4 billion. 

Year-to-date, Bitcoin’s inflows have reached $30.2 billion, although this is still below the $41.6 billion recorded in the previous year. Ethereum, on the other hand, saw its first outflows in five weeks, totaling $169 million. 

Despite this, Ethereum’s 2x leveraged exchange-traded products (ETPs) have remained popular. The cooling flows for Solana and XRP were also noted, with $29.4 million and $84.3 million in inflows, respectively. These changes may reflect investor caution ahead of the anticipated launch of U.S.-based exchange-traded funds (ETFs) for digital assets.