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$1.4 Billion Pours Into Crypto — What’s Driving The Surge?
TL;DR
Crypto investment products saw $1.4 billion in inflows last week, marking the second-largest weekly figure since January. This surge follows a shift in market sentiment as the Crypto Fear & Greed Index moves out of 'extreme fear'.
Key points
- Crypto investment products attracted $1.4 billion in inflows last week
- This is the second-largest weekly inflow since January
- Total assets under management reached nearly $155 billion
The Crypto Fear & Greed Index climbed above 29 on Monday for the first time since January 29, pulling out of “extreme fear” and settling into plain “fear.” It is a small move on a scale, but in crypto markets, it signals a shift in mood that money tends to follow.
Funds Flow Back In
Crypto investment products drew $1.4 billion in fresh inflows last week, according to data from CoinShares — the second-largest weekly figure recorded since January. The gain built on the prior week’s $1.1 billion, stretching the inflow run to three straight weeks and $2.7 billion combined.
Total assets under management across crypto exchange-traded products rose close to $155 billion, the highest mark since early February. Just weeks earlier, in March, that figure had fallen as low as $128 billion.
Source: Alternative.me
CoinShares head of research James Butterfill pointed to a recovering appetite for risk, tied largely to ongoing US-Iran ceasefire talks. Bitcoin’s price added to the mood, briefly pushing toward $78,000 on Friday before pulling back.
Bitcoin And Ether Lead, Altcoins Get Left Behind
Crypto ETP flows segmented by asset (in US$ millions). Source: CoinShares
Bitcoin products captured the bulk of the action. Data shows inflows into Bitcoin ETPs reached $1.12 billion for the week, pushing year-to-date totals to $3 billion, with assets under management sitting at $123 billion. US spot alone accounted for roughly $1 billion of that weekly total.
Q&A
What caused the $1.4 billion inflow into crypto investment products?
The inflow was driven by a shift in market sentiment, indicated by the Crypto Fear & Greed Index moving out of 'extreme fear'.
How much total assets are currently under management in crypto exchange-traded products?
Total assets under management in crypto exchange-traded products have risen to nearly $155 billion, the highest since early February.
How does the recent inflow compare to previous weeks in the crypto market?
The recent inflow of $1.4 billion builds on the prior week's $1.1 billion, totaling $2.7 billion over three consecutive weeks.
