Bitcoin and ether are seeing a resurgence in institutional capital inflows as all digital assets pick up steam: CoinShares
Bitcoinsaw the most inflows, totalling $39 million and ether was in second place with $17.7 million in the week to July 5.
- Crypto assets saw inflows of $63 million after 4 weeks of outflows, a CoinShares report shows.
- For the first time in 9 weeks all crypto assets saw an inflow, meaning investment sentiment was up.
Investors are putting money back into bitcoin and ether after a four-week run of outflows, alongside a revival in inflows for all crypto assets as the third quarter got underway, a CoinShares report published Monday said.
The report, which analyzes institutional digital-asset flows, found there were total inflows of $63 million in the week to July 5. For the first time in nine weeks, all crypto assets saw inflows, suggesting a turnaround in investor appetite.
Bitcoin led with a total of $39 million in inflows, while second-place ether logged $17.7 million. Together, the two most popular
"We believe it is due to a slow improvement in sentiment and investors looking to take advantage of low prices to add to positions," James Butterfill, investment strategist at CoinShares, told Insider.
Market watchers have pinned the four straight weeks of outflows on China's recent crackdown on crypto mining. Last week, crypto funds pulled $1.3 million out of bitcoin and $50 million out of ether, the largest on record.
Bitcoin has lost 0.7% in value over the past week, broadly trading between $33,000 and $36,400, according to CoinMarketCap. It was changing hands at $34,216 Tuesday, down almost 50% from its peak above $65,000 in April.
Ether, whose network
The smaller altcoins saw inflows even as their prices were declining.
Over the past week, XRP's price fell by 1.73%, dot fell by 4.99% while ada, which is a more environmentally friendly alternative to bitcoin, rose 3.03%.
The inflows in multi-digital assets reached $600,000, down from the previous week, meaning investors are less focussed on diversification, CoinShares said.
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