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Bitcoin Investment Products Ended March With Inflows of $865M Amid Renewed Interest

Summary:
Digital asset investment products experienced a positive shift in sentiment during the last week of March, with inflows reaching 2 million, nearly recovering from the previous week’s record outflows of 1 million. Despite this encouraging rebound, CoinShares revealed that ETF activity appears to be slowing down. In fact, the latest data shows that the daily trading turnover now stands at .4 billion, representing a 36% decline from its peak three weeks ago. However, this figure remains significantly higher than the 2023 average of 7 million, indicating a moderation in the initial market frenzy. Solana Dominates With Over M Inflows Bitcoin continued to lead the pack, observing inflows of 5 million last week, according to the latest edition of CoinShares’

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Digital asset investment products experienced a positive shift in sentiment during the last week of March, with inflows reaching $862 million, nearly recovering from the previous week’s record outflows of $931 million.

Despite this encouraging rebound, CoinShares revealed that ETF activity appears to be slowing down. In fact, the latest data shows that the daily trading turnover now stands at $5.4 billion, representing a 36% decline from its peak three weeks ago.

However, this figure remains significantly higher than the 2023 average of $347 million, indicating a moderation in the initial market frenzy.

Solana Dominates With Over $6M Inflows

Bitcoin continued to lead the pack, observing inflows of $865 million last week, according to the latest edition of CoinShares’ Digital Asset Fund Flows Weekly Report.

The asset manager further stated that this was largely driven by renewed interest from new ETF issuers in the US, which contributed $1.8 billion in inflows, counterbalanced by Grayscale’s outflows of $967 million.

Short-bitcoin products, on the other hand, saw outflows for the second consecutive week, totaling $2 million over the past week.

Ethereum, too, continued its negative streak as it witnessed its fourth consecutive week of outflows, amounting to $19 million during the same period. This trend is commonly observed following network upgrades, suggesting investor caution regarding their success.

Altcoins, on the other hand, experienced inflows totaling $18.3 million last week, with Solana dominating with $6.1 million in inflows. Other notable altcoins seeing inflows included Filecoin, Polkadot, and Chainlink, with inflows of $3.9 million, $2.4 million, and $1.9 million, respectively.

Investment products designed for Cardano, XRP, and Litecoin also noted modest inflows of $1.1 million, $0.3 million, and $0.2 million, respectively.

Regional Divergence

With respect to regions, the divergence still persists. This is evident from the latest stats that depicted the US experiencing inflows of $897 million. Switzerland recorded the highest weekly outflows of $15.6 million, followed by Germany with $10.5 million and Sweden with $2.4 million.

Interestingly, Europe and Canada collectively witnessed outflows of $49 million over the past week. The figures catapulted its year-to-date outflows to a whopping  $785 million.

Meanwhile, Brazil and Australia settled for $2.9 million and $1.4 million in inflows respectively.

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