February 12, 2024

Institutional Investors Drive $1.1B Inflow into Crypto Market

Leticia "Letty" Santos
Written byLeticia "Letty" SantosWriter
Researched byNikos PapadopoulosResearcher

The crypto ecosystem has experienced a significant influx of funds from institutional investors, according to data from CoinShares. In its weekly report, CoinShares revealed that the overall inflow into the crypto market reached $1.1 billion, bringing the year-to-date flow to $2.7 billion.

Institutional Investors Drive $1.1B Inflow into Crypto Market

Impressive Showing on the Crypto Market

This past week has been one of the most ambitious for the crypto market this year, with a surge in capital inflows. As a result, the Assets Under Management (AUM) for crypto firms have reached $59 billion, the highest since early 2022.

Spot Bitcoin ETFs Lead the Inflows

The majority of the inflows recorded were from spot Bitcoin ETF products, with a total of $1.1 billion. Notably, BlackRock's iShares Bitcoin Trust (iBIT) received an inflow of $693.6 million, while Fidelity Investment's FBTC attracted $522.6 million.

Grayscale Investment's GBTC Records Outflow

However, Grayscale Investment's GBTC experienced an outflow of $414.8 million over the past week, offsetting some of the inflows. On the other hand, the Ark 21Shares product saw a surge of $23.5 million, becoming the third fund to join the $1 billion AUM club.

Altcoins Also Contribute to Inflows

While Bitcoin was the main focus, other top altcoins also attracted institutional investors. Ethereum (ETH) received a total of $16.5 million, and Cardano (ADA) managed to secure $6.1 million in inflows. However, altcoins like Solana (SOL), XRP, and Tron (TRX) had significantly lower contributions.

Brighter Days Ahead for Bitcoin

Despite the market's recent volatility, the Bitcoin price is approaching the $50,000 mark. With the ongoing trend of institutional accumulation, there is optimism for the future of the top cryptocurrency.

About the author
Leticia "Letty" Santos
Leticia "Letty" Santos

Letty Santos, a vibrant spirit from the heart of Manila, seamlessly merges her passion for Filipino culture with the exhilarating world of online casinos. Bringing a unique Filipino touch to every project, she's a gem in the casino localization realm.

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