Crypto Investment Boom with $1.32 Billion Poured into Digital Assets

• Digital asset investment products have seen 8 consecutive weeks of inflows totaling $1.32 billion in 2022, driven by anticipation of spot Bitcoin ETF approval in the US.
• Bitcoin remains the dominant asset, attracting 34% of total assets under management, but altcoins like Solana, Ethereum, and Avalanche are seeing significant inflows.
• Trading volumes in ETPs now account for 11% of total crypto volumes, pointing to increasing institutional adoption in the crypto market.

Digital asset investment products have seen significant inflows in 2022, driven by anticipation around spot-based ETF approval in the US. Altcoins like Solana, Ethereum, and Avalanche are leading the charge.

Ongoing Positive Momentum

• Digital asset investment products saw inflows of $176 million this past week, marking the 8th consecutive week of positive inflows.
• Inflows year-to-date now total $1.32 billion, although still below the massive 2021 ($6.7 billion) and 2020 ($6.6 billion) figures.
• Trading volumes in ETPs have averaged $3 billion per week, twice the 2022 average of $1.5 billion.
• ETPs now account for 11% of total crypto volumes, exceeding historical averages.

Global Breakdown

• Canada, Germany, and Switzerland saw the largest inflows this past week at $98 million, $63 million, and $35 million respectively.
• The United States saw outflows of $19 million from futures-based products.
• Brazil, France, and Australia also saw positive inflows.

Bitcoin Still Dominant, Altcoins Gaining Steam

• Bitcoin remains the largest asset, attracting $155 million in inflows over 8 weeks, now 34% of total AUM.
• However, Solana led altcoins with $136 million in inflows this past week, followed by Ethereum ($33 million) and Avalanche ($18 million).
• Other altcoins like Cardano, XRP, and Litecoin also saw positive inflows.

Conclusion

The ongoing bullish momentum in the crypto market is being led by anticipation of a spot Bitcoin ETF approval in the US. Inflows remain positive for 8 consecutive weeks. While Bitcoin still dominates, altcoins like Solana, Ethereum, and Avalanche are seeing significant capital inflows. The growth of ETPs as a share of total crypto volumes also points to increasing institutional adoption.