Crypto funds attracted $619 million in inflows from March 2-6, despite a market downturn towards the end of the week.
Between March 2 and March 6, cryptocurrency investment products experienced a significant influx of $619 million, as reported by CoinShares analysts.
The week began strongly, with $1.44 billion flowing into these products during the first three days. However, this positive trend reversed on March 5 and 6, resulting in an outflow of $829 million as market sentiment turned negative.
This volatility has been linked to macroeconomic factors, particularly rising oil prices which overshadowed the implications of disappointing U.S. labor market data and unmet expectations regarding inflation decline.
The majority of the investment came from institutional investors in the United States, contributing $646 million. In contrast, European, Asian, and Canadian investors demonstrated a more cautious approach, resulting in outflows of $23.8 million, $2.2 million, and $3.6 million, respectively.
Bitcoin remained the frontrunner, attracting the largest share of inflows at $521 million. Additionally, $11.4 million was directed towards products that enable short positions on Bitcoin, reflecting mixed sentiments among investors.
Ethereum also saw substantial interest, with inflows of $88.5 million, while Solana followed with $14.6 million. Uniswap and Chainlink both garnered $1.4 million each. Conversely, XRP faced a setback, with $30.3 million withdrawn from related investment products.
For context, the previous week, from February 23 to 27, crypto funds had recorded inflows totaling $1 billion.
