Tuesday, January, 21, 2025

Crypto Recovery Gains Pace with $716M Inflows and Rising Institutional Demand

crypto
Picture of Anny Sam

Anny Sam

Anny is a skilled crypto writer, delivering clear, engaging content that simplifies complex blockchain concepts for a broad audience.
  • Digital asset ETPs gained strong weekly inflows of US$716m.
  • Bitcoin, XRP, and Chainlink led investor demand.
  • Short-Bitcoin products saw heavy outflows as negative sentiment eased.

Crypto Digital asset investment products gained solid momentum last week. Total inflows reached US$716m as market confidence improved across major regions. The rise pushed total assets under management to US$180bn.

This level sits far below the all-time peak of US$264bn, yet the steady recovery shows renewed interest from global investors. Daily figures showed brief outflows on Thursday and Friday. Investors reacted to fresh US macroeconomic data that signaled continued inflation pressure.

However, the broader trend stayed firm as most regions reported positive activity. The US led the movement with US$483m. Germany followed with US$96.9m. Canada added US$80.7m. These numbers reflect wide participation and a stronger outlook for digital asset exposure.

Bitcoin Leads Weekly Inflows With Strong Demand

Bitcoin remained the main driver of crypto inflows. The asset drew US$352m and lifted its year-to-date total to US$27.1bn. This figure stays behind the US$41.6bn recorded in 2024. Still, the current trend signals stable demand after recent market swings. Short-Bitcoin crypto products moved in the opposite direction.

They saw US$18.7m in outflows, the largest since March 2025. Investors reduced their bearish positions as they anticipated a possible bottom in market sentiment. This shift marked one of the strongest signals of recovery in recent months.

XRP also extended its strong trend. The token gained US$245m last week. Year-to-date inflows now stand at US$3.1bn. The figure surpasses the US$608m recorded in 2024, which shows a major rise in long-term interest.

Chainlink followed with an impressive performance. Weekly inflows reached US$52.8m. This amount marked a record and represented 54% of total assets under management for its products. The rapid increase confirmed strong investor focus on projects that support data and oracle services in blockchain systems.

Global Investors Shift Toward Large-Cap Digital Assets

The latest numbers show a clear shift in global sentiment. Investors increased their exposure to large-cap assets while reducing bearish positions. This change reflects optimism about long-term digital asset growth.

The rise in inflows also points to growing interest in diversified products. Bitcoin stays dominant, but other assets such as XRP and Chainlink now play a larger role in portfolio activity.

Market analysts expect more movement as inflation signals and policy updates shape the coming weeks. Investors continue to watch economic data and price trends. Current figures show that interest remains strong, and confidence is slowly returning to the digital asset market.

Related Reading: Bitcoin Surges Above $93K: BlackRock Predicts Tokenization Boom in Coming Years

How would you rate your experience?

Related Posts

Share on Social Media
Scroll to Top