Bitcoin continues to shine with 98% of inflows into crypto investment products
On April 11, European cryptocurrency investment firm CoinShares published its latest “Digital Asset Fund Flows Report,” revealing that digital asset investment products experienced positive sentiment with inflows totaling $57 million last week, bringing inflows back to a net positive position year-to-date. However, despite this, “volumes were low at $970 million for the week,” and the global Bitcoin (BTC) exchange market also saw low volumes, which “were just 25% of the year-to-date average at $18 billion for the week.”
According to the report, inflows were primarily driven by investors in the U.S., with $27 million of inflows. Germany, Switzerland, and Canada also saw positive sentiment, with inflows totaling $17 million, $13 million, and $2.2 million, respectively, indicating a broad-based increase in confidence towards digital assets.
Investors primarily focused on Bitcoin, with BTC receiving $56 million of inflows, which accounted for 98% of all inflows. Meanwhile, short-bitcoin suffered minor outflows totaling $0.6 million. In contrast, altcoins, including Uniswap (UNI), Polkadot (DOT), and Polygon (MATIC), saw minor inflows of less than $1 million each.
The report also noted that despite the Ethereum network’s Shapella upgrade scheduled for April 12, Ether (ETH) inflows were relatively minor at $600,000, suggesting that perhaps investors are cautious about investing in Ethereum until they are more confident about the impact of the upgrade. Additionally, blockchain equities saw minor inflows totaling $2.1 million, indicating a relatively quiet week for this market segment.
Related: Ethereum price retests key support level that preceded 60% gains in June 2022
Overall, the positive sentiment in the digital asset market last week, despite low volumes, indicates that investors remain bullish on the prospects of cryptocurrency. As previously reported by Cointelegraph, Bitcoin has reclaimed $30,000, its highest price since June 2022. In the last 30 days, BTC recorded gains of nearly 46%, rising to its highest level in ten months on April 11.
On April 5, American business intelligence firm MicroStrategy added another 1,045 Bitcoin to its growing crypto treasury, for approximately $29.3 million at an average price of $28,016 per BTC – MicroStrategy executive chairman Michael Saylor announced in a tweet. Saylor has been a prominent Bitcoin proponent, urging businesses to incorporate the leading cryptocurrency into their strategic asset allocation. He has consistently emphasized that Bitcoin is the most dependable and secure store of value available in the current market, and presents a distinctive avenue for enterprises to safeguard their assets against inflation.