Digital asset investment products experienced a massive influx of $3.7 billion in the past week, marking it as the second-largest weekly total in history. According to CoinShares analyst James Butterfill, this surge in capital has driven the total assets under management (AuM) of crypto exchange-traded products (ETPs) to an all-time high of $211 billion.
Trading activity has also intensified, with ETP volumes soaring to $29 billion, which is double the weekly average for the year. Butterfill highlighted that July 10 saw the third-largest daily inflow on record, showcasing a growing institutional interest and reinforcing the bullish sentiment that has led to 13 consecutive weeks of net inflows.
Bitcoin continues to be the preferred asset, attracting $2.7 billion in inflows and increasing its total AuM to $179.5 billion. This milestone positions Bitcoin ETPs as holding 54% of the value found in gold exchange-traded products, solidifying its status as digital gold. Despite the rally, short bitcoin products saw minimal activity, indicating a prevailing bullish sentiment. Ethereum also made headlines, securing its twelfth consecutive week of positive flows.
With $990 million added last week alone—making it the fourth-highest weekly figure on record—Ethereum’s 12-week cumulative inflows now represent 19.5% of its AuM, surpassing Bitcoin’s 9.8% over the same period. Butterfill suggests that this points to a growing investor confidence in Ethereum’s long-term prospects.
In terms of regional trends, the United States dominated the flows with the entire $3.7 billion weekly inflow. Germany, however, experienced significant outflows of $85.7 million, indicating potential regional profit-taking or shifting regulatory sentiments. Switzerland and Canada saw moderate inflows of $65.8 million and $17.1 million, respectively.
Among altcoins, Solana emerged as a standout with $92.6 million in inflows, solidifying its position as a favored layer-1 choice outside of Ethereum. On the other hand, XRP witnessed the largest weekly outflows at $104 million, suggesting a decline in investor confidence or reactionary moves following recent price fluctuations.
Butterfill stressed that despite some mixed performance among altcoins, the consistent capital inflow across the broader market signals a renewed interest from both institutional and retail investors in the digital asset sector.
The surge in digital asset inflows and the record-breaking total AuM indicate a growing acceptance and adoption of cryptocurrencies as viable investment options. This trend showcases the maturation of the digital asset market and suggests a promising future for the industry.