Digital Asset Investment Products collectively attracted $1.9 billion, recording a second consecutive week of influx. The surge followed the US Federal Reserve's long-standing interest rate cuts last week. Investors were initially hesitant and treated the move as a “hawkish cut,” but as the week progressed, emotions improved.
By Thursday and Friday, the inflows had accelerated, adding $746 million as the market reassessed the impact of rate decisions on crypto.
Solana and XRP see influx
According to the latest edition of “Digital Asset Fund Flows Weekly Report,” according to Coinshares, management's total assets have risen to a peak of $40.4 billion, up until New Day, and are on track to meet or slightly surpass last year's record inflows.
Bitcoin attracted the biggest inflows last week after securing $977 million. Meanwhile, Short Bitcoin products recorded a $3.5 million outflow and continued to reduce their managed total assets to a yearly low of $83 million. Ethereum also gained momentum, receiving $772 million.
The cumulative inflow this year is now at a record $12.6 billion. This has brought the total managed assets to an astounding $40.3 billion. Solana brings in $127.3 million, XRP secures $69.4 million, while SUI has a reduced inflow of $2.1 million, ChainLink has a $1.9 million, and Cardano has a $1.1 million.
Meanwhile, multi-asset investment products saw a $38 million outflow.
The US won the biggest inflow at $1.8 billion, Germany at $51.6 million, and Switzerland at $47.3 million. Canada also poured $21 million inflows around the same time. Next was Brazil at $9.3 million and Australia at $7.8 million.
Sweden and Hong Kong have recorded modest outflows of $13.6 million and $3.1 million, indicating a limited regional pullback, but market sentiment has generally remained optimistic.
Market Meltdown
Major crypto assets slipped into a new recession on Monday as the market lost its fierce momentum last week. Bitcoin has retreated more than 3% in the past day, falling below $112,300. Ethereum has caused an additional 6% decline, trading at nearly $4,202.
Other major tokens were also distorted as XRP fell by nearly 5%, Solana slipped around 7% and Dogecoin fell by nearly 10%. The market-wide pullback planted updated sales pressure after an optimistic few days. This led to a cascade of liquidation.
