As the leading cryptocurrency bitcoin continues to hold on to its $30,000 price mark, several retail and institutional investors are beginning to position themselves in the ecosystem by buying the asset.
According to a recent analysis shared on Monday, institutional investors recorded $199 million in their total inflow of digital assets in the past week. The last time digital asset products saw this much inflow in a week was in July 2022.
BTC Inflow Increases to $187M
In the latest report by the digital asset management platform Coinshares, institutional investors trooped into Bitcoin products last week, bringing its total inflow to $187 million. This represented 94% of the total flows for digital assets in the past week alone.
Last week, BTC’s price rose from around $26,500 to over $31,300. The sudden increase followed news around the Spot Bitcoin exchange-traded fund (ETF) in the United States. Digital asset management firms BlackRock, WisdomTree, and Invesco filed for the financial product with the U.S. Securities and Exchange Commission (SEC).
BTC traded at $30,300 at press time, representing over a 20% increase from its price a week ago.
Meanwhile, CoinShares’ metrics also showed that short Bitcoin recorded an outflow of $4.9 million, marking its ninth consecutive week of outflows.
Other Assets See Mild Inflow
Unlike Bitcoin, other digital assets saw minimal inflows. Ethereum, for example, saw an influx of $7.8 million, showing investors’ reduced interest in ETH compared to BTC.
Other assets in the Altcoin family saw lesser inflows. For instance, Solana and Ripple XRP recorded a minor influx of $170,000 and $240,000, respectively. The reduced engagement with these assets may be tied to the cascade effect of a legal battle between the U.S. SEC and the crypto exchange Binance that began on June 5th.
In the lawsuit, the agency termed cryptocurrencies, such as SOL, ADA, XRP, and others, as securities. To comply with this directive and avoid a regulatory crackdown, digital asset firms Bakkt and Robinhood delisted these assets. This implied a subtraction of users engaging with the delisted assets.
