10-week streak of $3.2 billion crypto inflow continues with boost in confidence from Trump election victory

Japan’s Crypto Ecosystem Transformation: Monex Group Leading the Way

Recent data from CoinShares revealed a significant $3.2 billion inflow into the crypto sector last week, marking the 10th consecutive week of positive flows. This streak represents the longest period of inflow seen this year, bringing the total year-to-date flows to an impressive $44.5 billion – four times higher than any previous annual record.

Impact of Trump’s Election Victory on Inflows

Last week, Bitcoin-related investment products saw inflows totaling $2 billion, contributing to a total of over $11 billion in inflows since Donald Trump’s election victory in November. The surge in Bitcoin ETPs post-election is linked to optimism surrounding potential regulatory clarity and a more crypto-friendly approach from the incoming US administration. The US market led the inflows with $3.1 billion, followed by Switzerland ($36 million), Germany ($33 million), and Brazil ($25 million).

James Butterfill, CoinShares’ Head of Research, highlighted that trading volumes in Bitcoin ETPs averaged $21 billion weekly, representing 30% of Bitcoin trading activity on reputable exchanges. Daily Bitcoin volumes on these exchanges hit $8.3 billion, indicating a liquid and robust trading environment.

Growing Interest in Short Bitcoin Products

Short Bitcoin products also saw increased traction, with inflows of $14.6 million pushing assets under management to $130 million. This trend reflects a rising interest in hedging strategies as Bitcoin’s price surged to an all-time high of over $106,000.

Ethereum Continues Inflow Streak

Ethereum maintained its inflow streak, adding $1 billion for the seventh consecutive week. Over this period, Ethereum ETPs saw total inflows of $3.7 billion, signaling improved sentiment towards the cryptocurrency. Spot Ethereum ETFs reported a 15-day inflow streak, attracting over $2 billion during the reporting period.

Positive Momentum for Altcoins

XRP attracted $145 million in inflows amid speculation about a potential US-listed ETF. Additionally, Polkadot and Litecoin recorded inflows of $3.7 million and $2.2 million, respectively, as investors diversified their portfolios.