Bitcoin and Ethereum ETFs Add Billions Amid Record Week: CoinShares – Decrypt

Spot Bitcoin and Ethereum exchange-traded funds have seen unprecedented demand from institutional investors this year, with December numbers in particular continuing to impress.

CoinShares said a record $3.85 billion flowed into digital asset funds last week, driven by insatiable demand on Wall Street. report on monday.

BlackRock's iShares ETF accounted for $3.2 billion of these inflows, bringing the firm's total crypto assets under management to $56.7 billion.

CoinShares reported that inflows into Ethereum products also hit a new all-time high of $1.2 billion last week, surpassing the amount seen when the Securities and Exchange Commission first approved the U.S. Spot ETH ETF in July. exceeded.

The US has now established itself as the leading market for digital asset investment products, with total inflows of $3.6 billion.

Switzerland came in second with $160 million, followed by Germany, Canada and Australia.

All of this is happening amidst speculation that the ETF is tracking the value of smaller cryptocurrencies such as: XRP or Solanathe launch could be given the green light after Donald Trump returns to the Oval Office in January.

Last week, it was confirmed that Wall Street ETF issuers now collectively own more Bitcoin than anyone else. Contains pseudonymous creators of cryptocurrenciesSatoshi Nakamoto.

The market capitalization of Bitcoin ETFs is currently $109 billion. CoinGlass data shows:—More than MicroStrategy and Binance combined. MicroStrategy is the largest corporate treasury holder of Bitcoin, and Binance is the world's top cryptocurrency exchange by trading volume.

However, CryptoQuant analysis suggests that all this buying activity was overwhelmed by selling by long-term Bitcoin holders, who offloaded 827,783 BTC in the past 30 days.

This could explain why Bitcoin has struggled to maintain momentum above $100,000 since reaching the milestone price for the first time last week. As of this writing, Bitcoin's price is near $97,000 after falling below six digits on Monday.

BTC's growth, which eventually led to a market capitalization of over $2 trillion, making it more valuable than the Australian dollar, was driven by institutional interest through ETFs rather than retail investors. It is widely believed that

Trump's impending return to the White House, fueled by a number of pro-Bitcoin pledges, is also playing a role. He is now anointed the 'Crypto Emperor' in the form of an entrepreneur david saxand paul atkins Selected to lead the SEC. Industry figures see Atkins as a crypto-friendly candidate who plans to end the hostile regime imposed during current SEC Chairman Gary Gensler's tenure.

Chris Skinner, an independent financial commentator who runs the blog The Finanser, said: decryption The next president has “made virtual currency respectable.”

“As a result, ETFs, like the entire crypto sector, will blossom over the next four years,” he wrote in an email. “This is not a Bitcoin drivel, this is a crypto institutionalization drivel, something liberals never wanted but could not avoid.”

Edited by Sebastian Sinclair