The inflow of cryptocurrency investment products reached $ 57 billion last week, a new high of all time and highlighting the rapid adoption of digital assets among institutions.
Digital asset manager CoinShares said in its weekly inflows report that net inflows into digital asset investment products rose $ 99 million for the week ending March 19. Flow to CoinShares decreased by $ 25.9 million from the previous week. The year-to-date flow decreased by $ 93 million.
Grayscale is by far the world’s largest digital asset manager, with $ 44.2 billion in assets under management as of March 22nd.
22/02/21 UPDATE: Net assets under management, ownership per share and market price per share for our investment products.
Total AUM: $ 44.2 billion$ BTC $ BCH $ ETH $ ETC $ ZEN $ LTC $ XLM $ ZEC $ BAT $ LINK $ MANA $ FILE $ LPT pic.twitter.com/q6krycE3zi
– Grayscale (@Grayscale) 22 March 2021
With the exception of Ripple, all major assets tracked by CoinShares recorded weekly inflows, with $ 85.3 million flowing into Bitcoin (BTC). Interestingly, the trading volumes of Bitcoin investment products moderated to $ 713 million per day last week, up from the $ 1.1 billion average so far this year.
The inflow of Ethereum (ETH) products increased by $ 7.8 million. Multibate funds raised $ 4.2 million.
The CoinShares report highlighted a regional gap in institutional demand, while the United States had a decline in appetite while Europe and Canada reported gains. Canada has become a hotspot for Bitcoin exchange-traded funds, with the Purpose Bitcoin ETF reaching $ 100 million in volume shortly after its launch in February. The fund is expected to outperform all other ETFs in Canada within two months.
Institutions have become a major driver for the crypto bull market, which could potentially set the scene for a longer rally than the 2017-driven retail euphoria. Bitcoin’s price reached $ 61,000 last week, with one prominent BTC miner predicting a top in the range of $ 150,000 to $ 300,000.