Digital assets manager CoinShares says Bitcoin (BTC) and the rest of the crypto markets are having a positive start to the new year amid surging interest from institutional investors.
In its latest Digital Asset Fund Flows report, CoinShares finds that institutions are pouring capital into crypto ahead of a highly anticipated spot BTC exchange-traded fund (ETF) approval from the U.S. Securities and Exchange Commission (SEC).
[adinserter block="1"]“Digital asset investment products saw inflows totaling US $151 million in the first week of 2024, bringing the total inflows since the Grayscale vs SEC lawsuit to US $2.3 billion, representing 4.4% of total assets under management (AuM).
Despite the spot-based ETF not being launched yet in the US, 55% of the inflows were from US exchanges, with Germany and Switzerland seeing 21% and 17% respectively.”
BTC took the lion’s share of inflows at $113 million, far more than short BTC products, suggesting institutional investors believe the SEC will greenlight an ETF, the firm says.
“Bitcoin saw the largest share of inflows at US $113 million with total inflows over the last 9 weeks representing 3.2% of AuM. Conversely, short-bitcoin saw outflows for the first week of the year totaling US $1 million. If many truly believed that the launch of the ETF in the US would be a “buy the rumor, sell the news” event, we surely would expect to see inflows into short-Bitcoin ETPs (exchange-traded products), instead, outflows over the last 9 weeks have amounted to US $7 million.”
Altcoins also had a good start to the year, according to CoinShares. Ethereum (ETH) raked in nearly $30 million, while Cardano (ADA), Avalanche (AVAX) and Litecoin (LTC) brought in $3.7, $2, and $1.3 million, respectively.
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