Coinshares: Crypto Market Saw Weekly Inflows Totalling US$160m

The world of digital assets has once again surged in popularity, receiving a staggering $160 million investment influx, marking the highest inflow since July 2022. The Digital Asset Fund Flows Report, published on March 27th by CoinShares, revealed that investors are turning to crypto investment products. 

The More Attractive Market

The data speaks for itself, with six weeks of outflows that totaled a whopping $408 million, now replaced with a marked turnaround. This remarkable shift can be attributed to growing concerns regarding the stability of traditional finance, making digital assets a more appealing and secure investment option.

The key beneficiary of this surge was Bitcoin, with $128 million in inflows. Several investors have now come forward describing Bitcoin as a “safe haven” for the first time.

The investment inflows came from many countries around the world, reflecting a growing sentiment for digital assets. The most notable comes from the US, Germany, and Canada, with inflows of $69 million, $58 million, and $26 million, respectively. This indicates a broad set of investors are now much more confident in this asset class.

While Bitcoin reigned supreme, Ethereum suffered outflows of $5.2 million last week, marking its third consecutive week with outflows. One possible reason for this is investor jitters around the Shanghai upgrade expected on April 12th.

It was a different story for altcoins, with various currencies seeing inflows. Most remarkably were Solana, Polygon, and XRP, with $4.8 million, $1.9 million, and $1.2 million inflows, respectively. We believe this variety of altcoin inflows signifies the ever-increasing diversification of digital asset portfolios.

Overall, this groundbreaking investment surge in the world of digital assets emphasizes a shift in investors’ attitudes toward traditional finance. As the investment world continues to evolve, the rise of digital assets presents new opportunities for those seeking a more secure and prosperous future.

The inflow of investment from traditional financial markets could help accelerate the growth of the crypto market, and perhaps one day, position it as a mainstream investment option.

As more investors enter the cryptocurrency space, it is crucial to continue providing reliable and secure investment options for them to invest in. Regulatory frameworks also need to be implemented to protect investors and allow the industry to thrive. With the growth of the crypto market and increasing investment from traditional financial markets, the potential for innovation and progress is boundless, and it is an exciting time for digital assets.