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    Bitcoin Leads $1.9B Crypto Inflows as Trump Fuels Market Optimism

    Digital asset inflows hit $2.2B last week, driven by Bitcoin's $1.9B surge as Trump takes office, sparking investor optimism.

    Updated Jan 21, 2025
    Irene Mukiri

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    Irene Mukiri

    Bitcoin Leads $1.9B Crypto Inflows as Trump Fuels Market Optimism

    Digital asset investment products saw a sharp increase in inflows led by Bitcoin (BTC), totaling $2.2 billion last week. This marks the largest weekly inflows in 2025, pushing year-to-date (YTD) inflows to $2.8 billion.

    The surge coincides with heightened market excitement surrounding Donald Trump’s inauguration as the 47th President of the United States.

    Bitcoin Leads $1.9B Weekly Digital Asset Inflows

    Bitcoin led the inflows with a staggering $1.9 billion last week, raising its YTD total to $2.7 billion. This occurred despite small outflows of $0.5 million from short positions, a deviation from usual patterns during rising prices.

    Ethereum followed with $246 million in inflows, reversing earlier YTD outflows and signaling renewed investor interest. Smaller assets like Solana, XRP, and Chainlink also recorded gains, although their inflows remained modest.

    Solana reported $2.5 million, while XRP attracted $31 million, bringing its cumulative inflows since November 2024 to $484 million. Chainlink added $2.8 million, while multi-asset products and Stellar gained $2.7 million and $2.1 million, respectively.

    Regionally, the United States dominated the inflows, contributing $2 billion last week. Switzerland and Canada followed with $89 million and $13.4 million, respectively, while Australia and Brazil added $5.3 million and $4.2 million.

    In contrast, Sweden and Germany experienced outflows of $14.5 million and $2.4 million, showing mixed global sentiment.

    ETP Trading Volumes Hit $21 Billion Globally

    Last week, exchange-traded products (ETPs) recorded $2.1 billion in global trading volumes. This accounted for 34% of the trading volume on trusted exchanges, underscoring the market’s robust activity.

    The elevated trading volumes reflect growing investor confidence in digital assets amid broader financial market developments. Short positions experienced minimal activity, with a $0.5 million outflow during the week.

    This contrasts with typical trends when price momentum is positive. However, the overall demand for digital asset products continued to rise, supported by increasing institutional participation and retail investor interest.

    Bitcoin reached an unprecedented $109,000 ahead of Trump’s inauguration, fueling predictions of further growth in 2025. Analysts project prices to rise between $145,000 and $249,000, driven by institutional investment and favorable monetary policies.

    Historical trends and potential Federal Reserve interest rate cuts are expected to enhance Bitcoin’s appeal further. Institutional investors increased their holdings significantly, adding $127 billion to custodial services and ETFs in 2024.

    On-chain data suggests that 2025 could bring an additional $520 billion in capital inflows, following previous cycles’ patterns. Experts attribute this to the new administration’s pro-crypto stance and anticipated regulatory support.

    FAQs

    What were the total digital asset inflows last week?

    Digital asset inflows totaled $2.2 billion last week.

    What are the year-to-date (YTD) inflows for digital assets in 2025?

    YTD inflows for digital assets reached $2.8 billion.

    Which digital asset led the inflows last week?

    Bitcoin led with $1.9 billion in inflows.

    Irene Mukiri

    Irene Mukiri

    Editor

    Irene Mukiri, a crypto enthusiast and writer, embraces travel. As a digital nomad, she delves into the potential of blockchain technology, showcasing its capacity to unite and empower humanity in her writing.

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