Crypto fund inflow streak hits $1.76 billion as bitcoin, ether reach 18-month highs

Crypto fund inflows at asset managers such as CoinShares, Bitwise, Grayscale, ProShares and 21Shares added $176 million last week, reaching a 10-week streak of $1.76 billion, according to CoinShares’ latest report .

The run represents the largest since U.S. futures-based bitcoin ETF products launched in October 2021 and is equivalent to 4% of the current $46.2 billion worth of assets under management, CoinShares Head of Research James Butterfill said.

Trading volumes also remained high at $2.6 billion last week, representing 12% of total bitcoin volume, Butterfill added. However, although assets under management have risen over 100% for the year, they remain 47% below the all-time high of $86.6 billion in 2021.

Regionally, Canada, Germany and the U.S. accounted for the most substantial inflows, adding $79 million, $57 million and $54 million, respectively. Hong Kong was the main outlier, registering outflows of $15 million, with the Asia region as a whole one of the only to witness net outflows year-to-date, despite the global upswing in digital asset investment products, Butterfill noted.

Weekly crypto asset flows. Image: CoinShares .

Bitcoin dominance and ether turnaround as prices hit 18-month high

Bitcoin BTC + -based funds dominated the inflows, adding $133 million to the $312 million inflows in the prior week. However, short bitcoin products registered minor inflows of $3.6 million last week, ending a three-week run of outflows.

Ether products registered a further $31 million of inflows, bringing its five-week streak to $134 million. Ether net flows are now positive for the first time in 2023 at $10 million after a long bout of relative negative sentiment, Buttefill said.

The flows come at a time when bitcoin and ether have reached their highest value in 18 months, fueled by continued optimism surrounding the potential launch of spot bitcoin ETFs in the U.S. over the coming months and, ultimately, an ether equivalent. BlackRock , Fidelity and Grayscale are among the firms seeking approval from the Securities and Exchange Commission for both spot bitcoin and spot ether ETF applications.

Bitcoin is currently trading at $41,836, according to The Block’s price data — up over 150% year-to-date. The top cryptocurrency by market cap briefly broke above the $42,000 level earlier today for the first time since the Terra ecosystem collapse in May 2022. 

BTC/USD price chart. Image: The Block/TradingView .

Ether is currently trading at $2,241, lagging behind bitcoin throughout 2023 but still up over 85% year-to-date.

ETH + /USD price chart. Image The Block/TradingView .

Blockchain equities also added to a seven-week run of inflows, adding $17.4 million — the largest since July 2022.