Exchange-traded cryptocurrency products saw inflows of $857.9 million, with Bitcoin attracting $706 million amid a bullish market trend.
In a notable trend for cryptocurrency investments, exchange-traded products saw inflows of $857.9 million between May 4 and May 8, marking six consecutive weeks of positive inflows—the strongest performance since late April.
According to CoinShares, total assets under management in these products have now reached $160 billion, spurred by advancements in discussions around the CLARITY Act and a significant surge in Bitcoin prices, which recently topped $82,000.
Of the recent inflows, $706.1 million was allocated to Bitcoin, bringing the total net inflow for the year to $4.9 billion. In contrast, there was a $14.4 million withdrawal from short instruments, suggesting a waning expectation for a market correction.
Other cryptocurrencies also witnessed inflows, with Ethereum attracting $77.1 million following previous outflows, Solana receiving $47.6 million, and XRP gaining $39.6 million.
The U.S. led the investment surge with $776.6 million, while Europe saw varying levels of interest: Germany contributed $50.6 million, Switzerland $21.1 million, and the Netherlands $5 million. Multi-asset funds were the only category to experience outflows, losing $5.5 million.
Profit-Taking Trends
Market indicators show that Bitcoin investors are increasingly realizing profits. The aSOPR metric has remained above one for nine consecutive days, a sign that profit-taking is occurring without negatively impacting the price structure, according to analyst Carmelo Aleman.
“Bitcoin is absorbing profit-taking without immediate deterioration in price structure. Coins are being realized at a profit, but the market has shown sufficient absorption capacity so far.” – @oro_crypto
Aleman emphasizes that this sustained metric indicates a stable market trend rather than euphoria, suggesting a transition into a growth phase. Should the aSOPR drop below one, it would signal a potential shift in market dynamics, indicating a return to selling at a loss.
Notably, inflows into investment crypto products were reported at $117.8 million from April 27 to May 1.
