Sunday, June 16, 2024

Digital Asset Funds See $261 Million Influx, Extending Gains for Sixth Consecutive Week.

In recent weeks, the cryptocurrency market has continued to see massive inflows as investors target specific Bitcoin (BTC) exchange-traded funds (ETFs).

A recent CoinShares Market Flow report states that gains of $261 million were reported in overall market goods, marking the sixth week of inflows as more investors become increasingly optimistic about the market.

The total amount of money that has climbed over the previous six weeks has reached $767 million, surpassing even July’s increase to become the largest run of inflows since the bull market’s collapse in December 2021.

The overall amount of money pulled in last year was $736 million; this amount was extremely low after a 2021 bull run, but it was primarily because of significant market failures and broader macroeconomic concerns.

With $229 million, Bitcoin was still the most valuable asset last week. Short-term bitcoin likewise followed suit, with $4.5 million trickling in. The presumed proximity of a spot BTC ETF clearance by the Securities and Exchange Commission (SEC) is the primary cause of the cryptocurrency’s recent explosive increases.

Although the financial regulator has routinely denied a number of applications in the past, analysts speculate that recent events, such as court wins, indicate that a potential approval may be imminent.

With the increasing likelihood of a spot-based exchange-traded fund (ETF) in the US and weaker-than-expected macro data, which calls into question the effectiveness of US monetary policy, CoinShares said that bitcoin inflows have reached $842 million.

Ethereum modifies the story.

Positive developments regarding altcoins were noted, including gains from Solana (SOL), Chainlink (LINK), and Ethereum (ETH), among others.

Solana maintained its strong streak of inflows, bringing in $11 million, while Chainlink made $2 million. Solana has been hailed as an institutional investor favorite this year after dominating the altcoin chart for several weeks in a row.

Ethereum has received $107 million this year and $17.5 million this week, its highest inflows since August 2022, which helped it reclaim its top spot among altcoins.

Note that due to its staking feature and large number of decentralized apps (dApps), Ethereum continues to have the biggest growth potential among all assets, even with its dismal performance in terms of institutional products even after the introduction of futures ETFs.

US climbs up the ladder

With $157 million, American investors recorded the biggest amount of any country, but European investors continued to perform well, with Germany and Switzerland recording $63 million and $36 million, respectively.

As the nation strives to clarify regulations regarding stablecoins and the larger market, Canada recorded $9 million. The large number from the US follows the approval of ETFs on the spot, and more investors are hopeful that the SEC will quickly resolve all outstanding difficulties.

Uncertain regulations have turned off US investors recently, in part because of their ongoing skepticism regarding the numerous lawsuits that regulators have filed.

Cryptured Team
Cryptured Team
The writers team at is composed of passionate and experienced journalists who cover the latest developments in the crypto and blockchain space. They aim to provide accurate, unbiased and easy-to-understand news and information for their readers, as well as insights and analysis from industry experts. The writers team is always on the lookout for new and exciting stories that can help the general public learn more about the potential and challenges of these technologies.

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