Latest Weekly Digital Asset Fund Flows Report from CoinShares has provided valuable insight into the current stance of cryptocurrency investing.
The report reveals that digital asset investment products saw inflows totaling $270 million last week, contributing to a record $37.3 billion in inflows for the year.
Despite this overall positive trend, notable discrepancies were observed between individual cryptocurrencies, highlighting a changing sentiment within the digital asset market.
crypto Fund Flows Indicate Market Change
One of the most significant developments is the divergence in investor sentiment between bitcoin and ethereum. bitcoin experienced outflows of $457 million, marking its first substantial outflows since early September.
James Butterfill, head of research at Coinshares, attributed this to “profit-taking” activities after bitcoin got very close to the psychological $100,000 mark.
Meanwhile, ethereum recorded notable inflows of $634 million, bringing its year-to-date total to $2.2 billion and surpassing its previous record of $2 billion set in 2021. This contrast highlights the renewed investor confidence in ethereum as it regains its momentum in the market.
Furthermore, XRP recorded substantial inflows totaling $95 million, setting a new record for the asset. Butterfill suggests that this rise is driven by optimism surrounding the possible approval of a US exchange-traded fund (ETF) for XRP, which will further solidify its position in the market.
Regionally, the United States dominated entries and accounted for $266 million of the total. Other notable contributions came from Hong Kong and Germany, with inflows of $39 million and $12.3 million, respectively.
In contrast, Switzerland and Canada recorded outflows of $26 million and $10 million, reflecting localized variations in investor behavior.
Regional data indicates that while the United States remains the main driver of digital asset investments, global interest in cryptocurrencies continues to grow.
ethereum and bitcoin Performance
While bitcoin has been in the spotlight in recent weeks by breaking multiple resistance levels and setting new all-time highs (ATHs), ethereum also appears to be steadily making its way into the spotlight.
Although eth is yet to surpass its previous ATH, the asset has broken through key resistance levels and is currently trading above $3,600, an increase of almost 50% from last month.
According to a prominent crypto analyst, Titan of crypto, at .
<blockquote class="twitter-tweet”>
<a target="_blank" href="https://twitter.com/hashtag/ethereum?src=hash&ref_src=twsrc%5Etfw” target=”_blank” rel=”noopener nofollow”>#ethereum Top of the cycle: between $7,800 and $9,900?
In the last cycle, <a target="_blank" href="https://twitter.com/hashtag/eth?src=hash&ref_src=twsrc%5Etfw” target=”_blank” rel=”noopener nofollow”>#eth It peaked near the 141.40% Fibonacci extension.
If history repeats itself, this cycle's high could approach $10,000. pic.twitter.com/qnar4UqSW1
– Cryptocurrency titan (@Washigorira) <a target="_blank" href="https://twitter.com/Washigorira/status/1863298373995872300?ref_src=twsrc%5Etfw” target=”_blank” rel=”noopener nofollow”>December 1, 2024
Meanwhile, bitcoin remains a dominant force in the market, trading at $97,130 at the time of writing. This marks a substantial 39.8% increase over the past month, reflecting continued bullish momentum for the leading cryptocurrency.
Featured image created with DALL-E, TradingView chart
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