Things are improving for the industry, with $176 million flowing into digital asset investment products last week.
As CoinShares reports, this marks the 10th consecutive week of inflows, totaling $1.76 billion, or 4% of assets under management (AuM).
This surge is the most significant since October 2021, coinciding with the introduction of futures-based ETFs in the US.
That said, despite total assets under management (AuM) rising 107% this year, reaching $46.2 billion, the statistic is still lower than its 2021 high of $86.6 billion.
ETP trading volume stood out for the week, reaching $2.6 billion, accounting for 12% of total Bitcoin trading volume.
Exchange-traded products (ETPs) include securities that reflect underlying assets, indices, or alternative financial instruments.
Functioning similarly to stocks, ETPs are traded on exchanges based on daily and intraday price fluctuations.
Like all derivatives, the valuation of an ETP depends on the performance of the underlying investment it is designed to replicate.
Regionally, attention was focused on Canada, Germany, and the United States, which recorded inflows of $79 million, $57 million, and $54 million, respectively. Meanwhile, Hong Kong experienced minor outflows totaling $15 million.
Asia is one of the few regions to witness annual net outflows despite relatively small AuMs and limited ETPs.
Bitcoin emerged as a major beneficiary, witnessing inflows of $133 million.
Interestingly, short Bitcoin experienced an inflow of $3.6 million last week, following a three-week outflow trend.
Ethereum also recorded a significant $31 million inflow, extending its positive streak to five weeks, accumulating $134 million.
For the first time this year, Ethereum net flows turned positive at $10 million after a long period of negative sentiment.
Blockchain stocks also continued to see inflows for the seventh week in a row, with last week’s $17.4 million inflows marking the largest inflows since July 2022.