Crypto product inflow streak hits 10 weeks before BTC climbed to $42k
The $1.76 billion of net inflows over the 10-week run is a total not seen since bitcoin futures ETFs launched in October 2021
Artwork by Crystal Le
Crypto investment products continue to notch inflows, marking a 10-week stretch with asset injection not seen in more than two years.
Such offerings brought in $176 million last week, according to a Monday CoinShares report — down from $346 million the week prior.
Still, these products have brought in $1.76 billion total over the active 10-week inflow streak. This is the best stretch since October 2021. That month marked the launch of bitcoin futures ETFs, including the ProShares Bitcoin Strategy ETF (BITO) that quickly grew to having more than $1 billion in assets under management.
Interest in BITO has picked up in recent months as optimism around the potential approval of spot bitcoin ETFs persists.
Read more: Industry watchers pin down possible bitcoin ETF approval dates
The futures-based fund has seen net inflows of $270 million since Nov.1, according to ETF.com — hitting an asset peak of $1.47 billion last week.
ProShares products accounted for roughly $39 million of the crypto product inflows last week, the CoinShares data shows. Canada-based Purpose Investments was the only provider that tallied more inflows, seeing about $50 million.
Bitcoin-related investment offerings accounted for $133 million of the $176 million of crypto product inflows last week as the asset’s price has continued to rally.
The BTC price stood at roughly $41,600 at noon on Monday in New York — up 13% from seven days ago. Bitcoin’s price briefly eclipsed $42,000 Monday morning.
The recent surge in bitcoin’s price can be attributed to several factors, according to Deribit Chief Commercial Officer Luuk Strijers. In a statement, Strijers highlighted “easing concerns following the settlement of Binance’s legal matters, escalating geopolitical tensions, easing of inflation, and the steady increase in institutional engagement.” This comes alongside the anticipation of a positive SEC decision on proposed spot bitcoin ETFs, he added.
Ether-related products made up $31 million of last week’s net inflows, while blockchain equities saw a seventh straight week of positive flows. The latter product segment brought in $17 million last week, the largest since July 2022.
Crypto-related stock prices jumped Monday morning. Coinbase and MicroStrategy were up about 6% and 7%, respectively, on the day, as of 12 pm ET. Crypto miners Marathon Digital Riot Platforms each had notched daily stock price gains of roughly 8.5% at that time.
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