Digital asset investment products experienced a notable influx of $321 million for the second week in a row, as detailed in a recent report by Coinshares. This rise in investment is primarily linked to the Federal Open Market Committee’s (FOMC) recent decision to reduce interest rates by 50 basis points (bps).
**Coinshares: U.S. Dominates Digital Asset Inflows**
As per Coinshares’ latest analysis, bitcoin (BTC) emerged as the main contributor to these inflows, attracting $284 million. This uptick reflects a growing interest among investors following the Federal Reserve’s accommodating policy. The report, authored by Coinshares’ head of research, James Butterfill, also highlighted that short-bitcoin investment products witnessed increased engagement, registering inflows of $5.1 million.
These statistics imply that some investors might be bracing for a potential downturn in bitcoin’s price, even though the overall sentiment remains optimistic. However, not all digital assets enjoyed the same level of market enthusiasm. Ethereum faced its fifth straight week of outflows, losing $29 million. Nevertheless, in the realm of spot markets, ETH has benefited more significantly from price increases since the rate adjustment.
Coinshares’ findings also indicate ongoing outflows from the Grayscale Trust, alongside limited inflows from newly launched exchange-traded funds (ETFs). Conversely, Solana continued to attract modest yet consistent inflows, totaling $3.2 million last week. Regional contributions varied, with the U.S. leading the way at $277 million, while countries such as Germany, Sweden, and Canada experienced outflows.
What are your thoughts on this week’s digital asset fund flows? We invite you to share your insights and opinions on this topic in the comments section below.
