Tuesday, January, 21, 2025

Digital Asset Inflows Reach $1.2B as ETFs Sustain Momentum

Digital asset inflows hit $1.2B, lifting AUM to $155B as ETFs drive demand, Bitcoin leads flows, and institutional interest strengthens.
Digital Asset
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Areeba Rashid

Areeba Rashid is a dedicated crypto news writer with a passion for making complex topics accessible to everyone. She covers the latest developments in the crypto world, including in-depth price analysis, helping readers stay informed and make sense of market trends.
  • Digital asset inflows hit $1.2B, lifting AUM to $155B amid strong ETF demand recovery.
  • The US led with $1.1B in inflows as Bitcoin drew $933M, pushing YTD flows to $4B total.
  • Spot Bitcoin ETFs added $824M as BlackRock drove 89% share, lifting assets above $102B.

Digital asset investment products posted $1.2 billion in net inflows last week. This marked a fourth straight week of gains. The trend pushed global assets under management to $155 billion, supported by ETF demand and improving Bitcoin price conditions.

According to the CoinShares report released on April 27, institutional activity increased during the period. Higher Bitcoin prices also supported flows as the asset moved closer to earlier highs. The data reflects a return of investor interest after uneven movements in previous months.

Source: CoinShares

US Leads Digital Asset Inflows

The US led global inflows with nearly $1.1 billion added in one week. Germany followed with $61.7 million, showing a strong increase from prior levels. Switzerland recorded $35.2 million in inflows, reversing earlier outflows. Canada contributed $15.5 million, indicating broader recovery across regions.

Bitcoin continued to be the major source of inflows of digital assets. It drew in $933 million in the week and drove year-to-date inflows to $4 billion. Short Bitcoin products experienced inflows of $16.5 million. This implies that there was still a certain level of hedging taking place.

Ether remained on its stable path with inflows of $192 million. This was the third week in a row over the $190 million mark. Blockchain-focused equity exchange-traded funds added $617 million over the past three weeks. The data demonstrates increasing interest outside of core assets.

Also Read: Meta Faces Setback as China Blocks $2B Manus AI Deal

U.S. spot Bitcoin ETFs experienced inflows of up to $824 million between April 20 and 24, according to SoSoValue data. The iShares Bitcoin Trust by BlackRock added $733 million of that amount. This represented approximately 89% of total ETF inflows.

Source: SoSoValue

Institutional Demand Remains Strong

ETF flows had a consistent trend in April. Weekly inflows were $996 million, $786 million, and $22 million. The total assets rose to 102.64 billion as compared to 86.22 billion in the same period. The data indicates persistence of institutional purchasing.

Fund flows were also affected by the price of Bitcoin in the month. The asset has reclaimed its position of around 60,000 in February. It traded at an average of around $77,800 and briefly hit $79,420 in April. But it failed to break above the $80,000 resistance level.

At the time of writing, Bitcoin is trading at $77,835 according to CoinMarketCap. In the last 24 hours the price fell by a margin of 0.09%. The movement is an indication of low volatility in the recent session.

Recent data also exhibited improvement in institutional sentiment. According to a survey by Nomura, almost 80% of the respondents intend to allocate funds to digital assets in three years. The positive sentiment increased to 31%, as opposed to 25% in 2024.

Also Read: Nakamoto Rolls Out Bitcoin Options Strategy Backed by Bitwise and Kraken

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