Bitcoin Saw $104 Million Inflows Last Week, Marking 4-Week Run Of Improving Sentiment
This marks a four-week run of inflows now totaling $345 million, indicating continued improving sentiment for the asset class. These inflows have almost fully corrected the prior six-week outflow run totaling $408 million. Regionally, inflows were seen across most geographies, but predominantly in the US and Germany with inflows of $58 million and $35 million, respectively.
Interestingly, these inflows come at a time of very low volumes in the Bitcoin market, averaging just $5.6 billion per day compared to $12 billion for the full year. Despite the low volume, Bitcoin has been almost the sole focus for investors with inflows of $104 million last week, bringing its total four-week run to $310 million. Investors fearful of the ongoing traditional finance challenges believe this is a flight to safety. However, opinion remains divided, with short Bitcoin seeing inflows totaling $14.6 million last week.
In contrast, despite the successful launch of Ethereum’s yield features (Shapella), only $0.3 million of inflows were seen last week. Little activity was observed in altcoins except for Polygon, which saw $2.1 million of outflows last week. Blockchain equities saw inflows of $5.8 million last week, and recent price appreciation has pushed total assets under management to $1.9 billion, the highest since October 2022, pre-FTX.
This data suggests that investors are still primarily focused on Bitcoin with only a few other digital assets seeing significant inflows. It remains to be seen if this trend will continue as the market evolves and new opportunities arise.
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