14.1 billion dollars flowed into the crypto market in 10 consecutive weeks despite the chaos.

Although the prices of major cryptoassets like Bitcoin and Ether have fallen sharply in the past week, cryptocurrency investment products continue to attract strong interest from investors. Global ETP products recorded an inflow of 1.24 billion dollars in the trading week ending on Friday, according to a report from CoinShares on Monday.

James Butterfill, head of research at CoinShares, said:

"With the latest influx of funds, cryptoasset ETPs continue to set record inflows this year, reaching an all-time high of $15.1 billion." This reflects the increasingly strong appeal of ETP products to investors, despite the strong price fluctuations and the instability of the crypto market.

The total assets under management (AUM) in cryptoasset ETPs also increased to $176.3 billion, just slightly higher than the $175.9 billion of the previous week, indicating a steady increase in the amount of circulating assets in these products.

Bitcoin leads the ETP flow

In the past trading week, Bitcoin continued to lead the inflow of funds into ETP products. The capital poured into Bitcoin ETP reached a total of $1.1 billion for the second consecutive week, despite the price of BTC falling from around $108,800 on June 16 to $103,000 by the end of the week.

According to Butterfill, the slowdown in the momentum of Bitcoin ETP, despite the spot price falling, indicates that investors are taking the opportunity to buy in when prices are weak. This is a signal that investors are not only looking at the immediate value but also believe in the long-term potential of Bitcoin.

He also pointed out that the small outflow of funds from Short Bitcoin products, totaling 1.4 million dollars, further clarifies the positive sentiment of investors towards Bitcoin at this time.

Source: CoinSharesMeanwhile, Ethereum continues to maintain strong appeal among investors, recording an increase of 124 million dollars in the past week, marking the ninth consecutive week of inflow, bringing the total inflow to 2.2 billion dollars. This is the longest growth streak since mid-2021, indicating strong confidence and positive sentiment among investors towards this cryptoasset, according to Butterfill's analysis.

However, over the past week, Ethereum spot ETFs in America only accounted for $40.3 million of the total inflow, while other jurisdictions like Canada and Germany recorded greater growth.

Overall, America leads with a net inflow of up to 1.25 billion dollars, followed by Canada and Germany with 20.9 million dollars and 10.9 million dollars, respectively. Nevertheless, this movement is partially offset by the outflow of capital from Hong Kong ( 32.6 million dollars ) and Switzerland ( 17.7 million dollars ).

The psychology temporarily shifts to "fear"

Although investment activity in crypto ETPs remains strong, market sentiment has changed significantly over the past week. The Crypto Fear & Greed Index, a gauge of overall market sentiment in crypto, shifted to "fear" on Sunday after a long period of maintaining a "greed" level. However, on Monday, this index slightly recovered to a "neutral" level, indicating a correction in sentiment after being in an overly enthusiastic state.

! Source: Alternative.meThis change may be partly explained by major adjustments in global markets, such as the Juneteenth holiday in the United States and reports related to U.S. involvement in the conflict in Iran, according to an analysis from Butterfill. However, the slight recovery of the index at the beginning of the week shows that market sentiment has not yet completely sunk into a negative color.

Overall, although the cryptocurrency market is facing many challenges and fluctuations, investment products such as ETP still show strong appeal to investors, and the inflow of funds into these products continues to grow.

Emma