According to a recent report, cryptocurrency products experienced an influx of $1.1 billion last week, primarily driven by Bitcoin (BTC), which accounted for 98% of the total inflows. Ethereum (ETH) and Cardano also observed a surge in momentum over the 7-day period.
Despite the bullish trend observed throughout the week, reports indicate outflows of $17 million in Canada and $10 million in Germany.
Crypto Inflows Soar Last Week
A recent CoinShares report reveals that the Bitcoin exchange-traded fund (ETF) dominated last week’s inflows, pushing the total assets under management (AuM) to its highest level since early 2022, reaching $59 billion.
“Digital asset investment products saw inflows of US$1.1bn, bringing year-to-date inflows to US$2.7bn. AuM is at highest level since early 2022 at US$59bn.”
It was only in November 2021, that Bitcoin hit its all-time high of $65,000 USD.
Weekly Crypto Asset Flows (US$m). Source: CoinShares
Many crypto investors consider inflows as an indicator of future price trends.
Given the upcoming Bitcoin halving in April, which occurs every four years, there is heightened speculation about how this event might alter the narrative surrounding the significant influx of funds.
Investors are anticipating a potential price surge shortly after the halving.
However, despite the price soaring and the massive amount of inflows, the Google search trends for Bitcoin itself, are actually more closer to the bear market.
Recent Factors Affecting Crypto Market
On February 12, BeInCrypto reported that engagement compared to the ETF approval week is down around 80% and has returned to bear market levels again.
Yet, it could also be due to less people discovering Bitcoin for the first time, upon positive price news, with reports in mainstream media, compared to previous cycles, when it was still a widely unknown asset.
Earlier today, Bitcoin briefly surpassed the $50,000 price mark for the first time in two years. At the time of publication, Bitcoin’s price is $49,912.
Bitcoin Price Chart 1 Month. Source: BeInCrypto
However, that hasn’t stopped the biggest players in the Bitcoin industry continue to accumulate more and more of the digital asset.
On February 11, BeInCrypto also reported that Bitcoin have accumulated an additional 140,000 BTC in the past three weeks, injecting $6.16 billion into the digital asset.