Crypto investment products have recorded four ย weeks of inflows, as the market eagerly awaits the possible approval of a spot Bitcoin (BTC) exchange-traded fund (ETF) in the United States.
Asset management firm CoinSharesโ Oct. 23 fund flows report revealed $179 million was added to digital asset investment products in the week ending Oct. 20, which has swelled the spaceโs assets under management to $33 billion.
Of the past weekโs inflows, $55.3 million or 84% went to Bitcoin investment products which has brought year-to-date Bitcoin product inflows to $315 million, it added.
It seems that the anticipation of a spot #Bitcoin ETF has prompted further inflows for the 4th consecutive week. Here is our analysis with @Jbutterfill.
Week 43 inflows: US$66m
Inflows are relatively low in comparison to Juneโs @BlackRock announcements, suggesting moreโฆ pic.twitter.com/6AkDGQJVOh
โ CoinShares (@CoinSharesCo) October 23, 2023
CoinShares Head of Research James Butterfill however noted that the recent weekโs inflows still havenโt reached the levels seen earlier this year when BlackRock first filed for a spot Bitcoin ETF.
โWhile the most recent inflows are likely linked to excitement over a spot Bitcoin ETF launch in the U.S., they are relatively low in comparison to the initial inflows following BlackRockโs announcement in June.โ
Butterfill added thaJuneโs four-week inflow run saw $807 million enter the sector and the lower inflows recently โare indicative of investors adopting a more cautious approach this time.โ
Meanwhile, Solana (SOL) products caught the second-largest share of inflows last week and the largest of all altcoins, netting $15.5 million. Ether (ETH) products saw outflows of $7.4 million โ the only altcoin to suffer outflows last week.
Related: Bitcoin ETF to trigger massive demand from institutions, EY says
More recently, interest in a spot Bitcoin ETF surged late on Oct. 23 amid โpositive signsโ that BlackRockโs ETFย was a step closer to approval and a U.S. Appellate Court issued a mandate to the Securities and Exchange Commission to review Grayscaleโs spot Bitcoin ETF filing.
The moves sparked a Bitcoin rally which saw it gain 14% over the past 24 hours and briefly hit $34,000 for the first time since May 2022.
The price jump also saw over $193 million in Bitcoin short liquidations in the past 24 hours, according to CoinGlass data.
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