$3.4 Billion Floods Crypto Funds as Traders Pivot from ’Safe’ Assets

Wall Street’s latest love affair? Digital asset funds just scored their biggest weekly inflow since Bitcoin’s 2021 bull run. Apparently even risk-averse money managers are tired of 2% Treasury yields.

The grab bag: Bitcoin ETFs soaked up 85% of the cash, while Solana and Polkadot funds saw record demand. Ethereum? Surprisingly quiet—maybe everyone’s waiting for the SEC to stop pretending they understand proof-of-stake.

Bottom line: When pension funds start chasing 20x leveraged ape JPEGs, you know the FOMO cycle is back. Just don’t ask what happens when the Fed flips the liquidity switch off again.

Bitcoin Dominates as Demand Picks Up

According to CoinShares reports, Bitcoin BTC $95 337 24h volatility: 1.7% Market cap: $1.89 T Vol. 24h: $22.21 B , the largest cryptocurrency, was the primary driver behind the inflow. 

As detailed, investment products linked to Bitcoin attracted $3.18 billion. In addition, total assets under management for Bitcoin funds have reached $132 billion, a level last seen in late February.

It is worth noting that this will be the first time in two consecutive weeks that XRP XRP $2.32 24h volatility: 5.3% Market cap: $135.59 B Vol. 24h: $5.31 B will fail to lead the charge. Ripple Labs’ linked cryptocurrency XRP has been at the forefront of investment products and asset management, gaining a total of $37.7 million in XRP-linked investment products over the past few weeks.

Many market watchers believe concerns over the impact of tariffs on corporate earnings and a sharp weakening of the U.S. dollar are pushing investors to seek alternatives. Bitcoin, often described as a store of value, is benefiting from these fears. 

It is important to note that this digital asset inflow comes at a time when Bitcoin flipped Silver and Amazon to become the sixth most valuable asset in the financial market. 

Ethereum’s ETH $1 810 24h volatility: 0.5% Market cap: $218.57 B Vol. 24h: $12.11 B second-largest digital asset also saw renewed interest after a challenging run. Last week, it attracted $183 million in inflows, bouncing back after eight weeks of outflows. The turnaround suggests some investors are regaining confidence in Ethereum after months of Whales selling pressure.

Still, not every major digital asset shared the good news. Solana was the only big altcoin to see money flow out, losing $5.7 million last week. While the broader trend among altcoins was generally quiet, a few names stood out. 

The fourth-largest asset XRP, brought in $31.6 million in inflows, and SUI recorded $20.7 million.

It’s worth mentioning that interest was not limited to digital currencies. Blockchain equities, especially those tied to Bitcoin mining, attracted $17.4 million in inflows. This shows that investors are broadening their exposure to the sector beyond holding coins.

U.S. Investors Lead the Charge, Global Interest Rises

According to the update, the inflows were heavily weighted toward the United States, where investors accounted for $3.3 billion. Nevertheless, significant activity was observed in other global digital asset markets. 

Crypto asset products in Germany and Switzerland both experienced positive movements, with inflows of $51.5 million and $41.4 million, respectively. These gains highlight a growing demand for crypto-related products in Europe. However, regions such as Sweden and Hong Kong saw slight outflows.

Other countries, including Canada, Brazil, and Australia, showed minor changes but generally remained positive. Canada was one of the few larger markets to see a dip in inflows during the week. 

Over the past nine months, the United States and Chinese governments have reduced their Bitcoin reserves by 12%. Bitcoin, the digital asset with the largest influx of investment products, is trading at $94,779.07. 

It has increased by 2.59% in the past 24 hours and has a market capitalization of $1.88 trillion. Other profiled altcoins also see price upticks, setting the pace for a bullish week ahead.

Digital Asset Funds Sees $3.4 Billion Inflow As Investors’ Interest Shifts