Bitcoin Funds Continue to Dominate Institutional Inflows

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Institutional investors are only interested in Bitcoin at the moment as it continues to lead the markets in recovery. Major crypto funds have had another week of strong inflows, and they are all dominated by BTC.

On July 3, institutional crypto fund manager CoinShares released its weekly fund flow report. It’s been another bullish week for professional investors stocking up on Bitcoin-related funds and products.

Bitcoin accounts for 98% of institutional fund flows

Crypto asset investment products saw a second week of inflows totaling $124.7 million, CoinShares reported.

That brings the last fortnight’s total to $334 million, reversing a straight nine-week trend of releases.

Once again, Bitcoin topped crypto fund inflows with $123 million. Additionally, BTC has accounted for 98% of all digital asset flows over the past two weeks.

He noted that for the tenth consecutive week, BTC short investment products continued to see outflows.

Weekly flows of crypto funds. Source: CoinShares

CoinShares also commented on the impact of recent market dynamics on assets under management.

Recent price appreciation saw AuM rise to US$37 billion over the week, the highest point since early June 2022 and matching the AuM average for 2022.

Additionally, business activity remained elevated at $2.3 billion for the week. This figure is higher than the cumulative average of $1.5 billion per week.

There was little love for Ethereum-based products, which only saw inflows of around $2.7 million for the week. Multi-asset funds saw outflows of $1.8 million, and altcoin-based funds were mostly flat.

Geographically, Germany accounted for the largest share of admissions, with $64.8 million. Canadian investors were also bullish with inflows of $34.7m, but Americans remained wary of the asset class with $22.7m or just 18% of the total.

The continued crackdown by US financial regulators on the crypto industry is creating capital flight and more overseas bullishness.

Crypto Market Outlook

Bitcoin spot prices are also doing well, with the asset hitting a new 2023 high of $31,384 in early trading on July 4.

The asset gained 1.6% on the day and was trading around $31,253 at the time of writing. However, this level is proving to be strong resistance, having been tapped and rejected four times in the past fortnight.

BTC price in USD 24 hours. Source: BeInCrypto

There has been little movement in the rest of the crypto market over the past 24 hours. Ethereum remains stable at $1,956 but has gained nearly 5% over the past week.

Disclaimer

In accordance with the guidelines of the Trust Project, BeInCrypto is committed to providing impartial and transparent reports. This news article aims to provide accurate and timely information. However, readers are urged to independently fact-check and seek professional advice before making any decisions based on this content.

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