This week saw a significant influx of $2 billion in digital asset investments, bringing the total to $4.3 billion over the past five weeks. This surge in investment coincided with a notable increase in trading volumes for Exchange-Traded Products (ETPs), which saw a 55% spike from the previous week, reaching $12.8 billion.
The United States led the way in this influx, with an impressive $1.98 billion, including one of the largest single-day inflows ever recorded. This financial movement propelled the iShares Bitcoin ETF ahead of the long-standing leader Grayscale, now boasting an Assets under Management (AuM) value of $21 billion. This achievement came as the total AuM for digital assets surpassed the $100 billion mark, a peak not seen since March.
Bitcoin remained the star of the show, bringing in $1.97 billion in investments. Ethereum also experienced a significant uptick in interest, with its best week of inflows since March, totaling $69 million. This renewed interest in Ethereum is likely due to the recent approval of spot-based ETFs by the SEC.
Among altcoins, Fantom and XRP stood out for their positive inflows, with $1.4 million and $1.2 million respectively, according to the CoinShares report. This trend indicates a growing investor interest in a wider range of cryptocurrencies beyond the major players.
The current investment rally in digital assets is believed to be a response to unexpectedly weak macroeconomic data in the U.S., which has shifted expectations towards earlier monetary policy cuts. This financial optimism is evident across almost all digital asset providers and signifies a significant slowdown in outflows from established players.