The most recent weekly crypto asset fund flows report from CoinShares shows a big turnaround in sentiment. In line with the European digital asset manager, crypto investment products recorded $644 million in inflows last week, ending a five-week streak of outflows.
This recovery follows a chronic period of bearish sentiment, with the last instance of sustained inflows occurring greater than a month ago.
Bitcoin Leads Recovery as Ethereum Sees Largest Outflows
James Butterfill, Head of Research at CoinShares, noted that “total assets under management have risen by 6.3% from their low point on March tenth.” He added that inflows were recorded each day of the week, marking a transparent reversal from the 17 consecutive days of outflows that preceded it.
This trend suggests that investor sentiment could also be shifting more positively toward digital assets. Bitcoin played a dominant role in last week’s inflow data, attracting $724 million in latest capital and ending its own five-week outflow streak, which had totaled $5.4 billion.
Short Bitcoin products, which take advantage of BTC price declines, registered outflows for the third consecutive week, totaling $7.1 million, signaling waning bearish expectations from investors.
While Bitcoin led the inflows, the altcoin space showed mixed results. Ethereum saw essentially the most significant outflows of any digital asset, with $86 million exiting ETH investment products.
Other altcoins, including Sui and Polkadot, also posted outflows of $1.3 million each, while Tron and Algorand lost $0.95 million and $0.82 million, respectively.
In contrast, Solana emerged as the highest altcoin by way of investor interest, with $6.4 million in inflows. Polygon and Chainlink followed with modest gains of $0.4 million and $0.2 million.
Regionally, the US was answerable for the majority of inflows ($632 million), while Switzerland, Germany, and Hong Kong contributed smaller but still positive amounts.
Crypto Market Performance
No matter this fund flow recorded last week, this week’s crypto market performance appears to have began on a bullish note. Within the early hours of Monday, Bitcoin picked up a notable recovery with the asset rising by nearly 5% to reclaim its price back above $87,000.
Particularly, on the time of writing, the asset still hovers above $87,000, trading at a price of $87,517, marking an roughly 5.1% increase over the past week. Interestingly, despite this, the asset remains to be down by a double digit from its all-time high (ATH) above $109,000 registered in January.
In line with data from Coingecko, at current market prices, BTC is down by roughly 19.8% from this peak. Interestingly, not only BTC began the Monday green, even Ethereum that has been consolidating inside a bearish trend has also seen an uptick.
Over the past day, the asset has risen by 3.3% and previously week, ETH has surged by nearly 10% bringing its its value to a current trading price of $2,083.
Featured image created with DALL-E, Chart from TradingView
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