Record Inflows into Bitcoin and Ethereum Drive Confidence in Digital Asset Market

GMBStaff

 6 Nov 23

tl;dr

Investors continue to pour money into digital asset investment products, with$261 million inflows reported last week. The majority of these inflows,accounting for nearly 90%, were invested in bitcoin funds. The increasinglikelihood of a spot-based ETF in the US and weaker-than-expected macro datacon...

Investors continue to pour money into digital asset investment products, with
$261 million inflows reported last week. The majority of these inflows,
accounting for nearly 90%, were invested in bitcoin funds. The increasing
likelihood of a spot-based ETF in the US and weaker-than-expected macro data
contributed to this trend. In addition, Ethereum saw inflows of $17.5 million,
the largest since August 2022, while other altcoins like solana, chainlink,
polygon, and cardano also experienced inflows. This sustained influx of funds
into digital asset investment products reflects growing confidence in the
market. The recent surge in inflows matches the July 2023 run of inflows and is
the largest since the end of the bull market in December 2021. This indicates
that investors are optimistic about the future of cryptocurrencies, particularly
bitcoin, despite the volatility in the stock market. Ethereum's substantial
inflows further highlight the attractiveness of alternative cryptocurrencies.
Inflows into other altcoins such as solana, chainlink, polygon, and cardano
demonstrate the diversification within the digital asset market. Overall, the
consistent inflows show that investors are increasingly recognizing the
potential of digital assets as a valuable investment opportunity.