Crypto investment product records large inflow

June 26 featured a significant increase in activity surrounding exchange-traded funds (ETFs), resulting in the largest weekly inflow for digital asset investment products since July 2022. The inflows for the week of June 19–23 amounted to $199 million, marking a reversal from nine consecutive weeks of outflows. The majority of these inflows, $187 million or 94%, were attributed to Bitcoin.

Some analysts believe that the positive sentiment shift can be attributed to recent announcements from prominent ETF issuers, who have filed for physically backed ETFs with the US Securities & Exchange Commission. Institutional interest in ETFs played a significant role in Bitcoin’s recent surge, with both BlackRock and Fidelity Investments filing for spot Bitcoin ETFs in June. Last week, Bitcoin reached a high of $31,431, the highest level in 2023.

While there was a slight increase in inflows for Ether, totalling $7.8 million, other altcoins did not experience significant movement. Only XRP and Solana saw minimal inflows of $240,000 and $170,000, respectively. Additionally, the ProShares Bitcoin Strategy ETF, known as BITO, saw its largest weekly inflow in a year, attracting $65.3 million and bringing its total assets to $1 billion.

These positive developments come after Bitcoin experienced a drop below $25,000 in June, the first time since mid-March, following separate lawsuits by the United States Securities and Exchange Commission against Binance and Coinbase. However, last week’s Bitcoin surge not only broke the nine-week outflows streak for cryptocurrencies but also set new all-time records against local currencies in Argentina, Venezuela, and Lebanon.

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