According to Coinshares, Bitcoin (BTC) has been the “prime focus” of institutional investors for the past two weeks as the cryptocurrency continues to make new highs for 2023.
In a July 3 report by CoinShares research lead James Butterfill, the analyst noted that bitcoin-related products saw $310.6 million in inflows over the past two weeks, representing the bulk of crypto product inflows .
“Bitcoin remained the main focus of investors […] Inflows over the past two weeks accounted for 98% of all digital asset inflows,” Butterfill said.
Weekly Bitcoin Inflows. Source: CoinShares
The last two weeks of inflows represent a reversal from the previous nine straight weeks of outflows. Short bitcoin products also saw a minor outflow of $0.9 million over the last week.
It is the second time this year that Bitcoin products have accounted for 98% of inflows into cryptocurrency investment products, with an increase in Bitcoin price and dominance.
Bitcoin has accounted for 98% of inflows into digital investment products over the past two weeks. Source: CoinShares.
Much of this surge is due to BlackRock’s June 15 spot bitcoin ETF filing, followed by similar filings from companies including Fidelity, Invesco, Wisdom Tree and Valkyrie.
Since filing, Bitcoin’s price is up 25.2% to $31,131 at the time of writing. Bitcoin’s dominance – a measure of its market cap relative to the total market cap of all cryptocurrencies – has risen to 51.46%, according to the data.
Meanwhile, inflows into Ethereum investment products totaled $2.7 million last week, the second week of inflows reversing a long outflow trend.
Related: Why Bitcoin ETF Approval Could Trigger $18 Billion Selling Pressure
Speaking to Cointelegraph on June 26, Michael Shaulov, CEO of Fireblocks, said institutional investors have a “fairly keen interest” in core assets like Bitcoin and Ethereum, but less so in alternative cryptocurrencies.
“The narrative surrounding Ethereum is essentially based on the insight that future tokenization ecosystems will likely be EVM-based. And if they are based on EVM, Ethereum will come in handy.”
Shaulov said the narrative surrounding Bitcoin has been less specific, but notes that most investors see the need to hold the cryptocurrency.
Magazine: Hall of Flame: William Clemente III predicts that Bitcoin will hit six figures towards the end of 2024
Learn Crypto Trading, Yield Farms, Income strategies and more at CrytoAnswers
https://nov.link/cryptoanswers
Comments are closed.