Investment Surge in Crypto Products Rises for the 11th Straight Week

Recent findings from CoinShares highlight significant growth in cryptocurrency-based investment products, with a remarkable $2.7 billion inflow last week. This marks the 11th consecutive week of net inflows. The total inflow in the first half of the year has reached $16.9 billion, closely approaching the $18.3 billion total for June 2024. The United States contributed nearly all of this week’s inflow, amounting to $2.65 billion.

Investor Preferences in Bitcoin and Altcoins

Bitcoin (BTC) $106,163 remains a dominant choice, comprising 83% of the weekly total inflow, equal to $2.2 billion. Reflecting this bullish sentiment, there was a $2.9 million outflow from short Bitcoin products, accumulating a $12 million total outflow since the beginning of the year.

Ethereum (ETH) $2,428 investment products also saw substantial activity, with a notable $429 million inflow. Since the start of the year, Ethereum has attracted over $2.9 billion in net investments, indicating persistent confidence from investors.

Meanwhile, major altcoins like Solana $148 ( SOL ) observed more modest inflows, with only $91 million total inflow since the start of the year. Other altcoins such as XRP received $10.6 million last week, Sui $1.4 million, Cardano $0.547337 ( ADA ) $700,000, and Chainlink $13 ( LINK ) $800,000. Litecoin (LTC) products saw no net movement.

This scenario shows that a substantial portion of investor capital is concentrated on Bitcoin and Ethereum-based products.

US Dominates Regional Fund Flow

The United States led the regional inflows dominantly with a net of $2.65 billion. In contrast, Switzerland saw $23 million, and Germany $19.8 million, reflecting much smaller-scale inflows.

On the other hand, Canada reported a $13.6 million outflow, Brazil $2.4 million, and notably, Hong Kong experienced a $2.3 million outflow. Hong Kong is witnessing a consistent outflow trend, with a net outflow of $132 million in June alone following recent price increases.

These regional differences point to varying risk perceptions and regulatory environments across the global investment landscape, with the US maintaining a significant leadership position.