The latest data from CoinShares, a crypto asset manager, reveals a noticeable comeback in the crypto market. According to the ‘digital asset fund flows weekly report,’ there was a significant uptick in investor confidence as digital asset investment products saw $176 million in inflows. The head of research at CoinShares, James Butterfill, highlighted a strong positive sentiment across the board, with particular attention to Ethereum-based funds. Ethereum products have distinctly stood out, attracting $155 million of the total inflows, marking the highest year-to-date intake since 2021. This influx showcases the market’s renewed interest in Ethereum, especially with the recent introduction of spot Ethereum exchange-traded funds (ETFs) in the United States.
Despite earlier outflows, Bitcoin could end the week with a positive total inflow of approximately $13 million. However, Short Bitcoin Exchange Traded Products (ETPs) saw their largest outflows since May 2023, totaling $16 million, reducing the Assets under Management for short positions to their lowest level since the start of the year. This indicates substantial investor exit from short Bitcoin positions.
The report by CoinShares states that the overall market sentiment has been overwhelmingly positive. The inflows are not isolated incidents but part of a broader, global positive reception to digital assets. Countries like the United States, Switzerland, Brazil, and Canada have been injecting substantial capital into the market, showcasing a bullish outlook despite previous major dips. Even though Bitcoin and Ethereum are still struggling against the bears, they are maintaining their price above major key levels.
As of the latest data, Ethereum trades above $2,500 with a current trading price of $2,689. This price comes after an 11% increase in the past week and a 1.6% surge in the past day. On the other hand, Bitcoin has seen a surge of 11.4% in the past week but has witnessed a 0.4% decline in the past day, still maintaining its price below $60,000.
Overall, the data from CoinShares reflects a positive trend in the crypto market, with a renewed interest in Ethereum, the standout performer in terms of inflows. Despite challenges faced by Bitcoin, the market sentiment remains positive, with global participation driving significant capital inflows. The current trading prices of Ethereum and Bitcoin indicate a continuous battle against bearish pressures, albeit with both assets holding above key levels.
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