Crypto Investment Products See $1.2B Inflows, Fourth Straight Week of Gains

Cryptocurrency investment products continued their run of inflows last week as Bitcoin traded at its highest levels since early February. Crypto exchange-traded products (ETPs) recorded $1.2 billion in inflows last week, marking their fourth consecutive week of gains, CoinShares reported Monday. The inflow streak is the largest so far this year, as the four-week total has reached about $3.9 billion, surpassing the previous four-week run of $2.9 billion in March. Total assets under management rose to $155 billion, the highest level since Feb. 1, supported by Bitcoin trading above $76,000 for the first time since its February correction, CoinShares head of research James Butterfill said. He said that crypto ETP growth likely reflects improving institutional demand against a backdrop of a Bitcoin surge. "The market now turns to the FOMC decision on April 28–29, which is likely contributing to caution at the margin," Butterfill added.

Bitcoin leads inflows as most assets see gains

Bitcoin led last week's ETP inflows, drawing $932.5 million and lifting year-to-date flows to $4 billion. A large share of these inflows came from US-listed spot Bitcoin exchange-traded funds, which recorded about $824 million in inflows last week, according to SoSoValue. Ether ETPs ranked second with $192 million of inflows, marking the third consecutive week of gains above $190 million, with year-to-date inflows now at $390 million.

XRP funds returned to inflows after recording $56 million in outflows the previous week. Despite the positive trend, short-Bitcoin products also recorded modest inflows of $16.5 million. That was broadly in line with the prior month's average, suggesting persistent but not elevated hedging demand, Butterfill said.

Blockchain equity ETFs hit record weekly inflows. The analyst also noted that blockchain equity ETFs recorded a record week of inflows. The ETFs have seen $617 million in inflows over the past three weeks, Butterfill said, highlighting rising demand for exposure to the broader technology and digital asset sector.

Regionally, the US dominated with $1.1 billion of inflows. Germany saw around $62 million, more than double the prior week, while Switzerland reversed last week's $138 million of outflows with $35 million of inflows.