Inflows into the Grayscale products are still surging, according to CoinShares data. Notably, Bitcoin is still the preferred asset for institutional investors. The inflows into crypto investment products reached $57 billion in the past week. That figure marked a new all-time high and showed that there is a rapid adoption of digital assets underway among the institutions.
During its weekly inflows report, CoinShares said that net inflows into digital asset investment products surged by $99 million for the week that ended March 19. Grayscale generated $9.1 million of inflows which brought its year-to-date total to $2,373 billion. Flows into CoinShares dropped by $25.9 million from the previous week.
The year-to-date flows have dropped by $93 million. Grayscale is by far the biggest digital asset manager globally, with $44.2B in assets under management as of March 22, 2021.
03/22/21 UPDATE: Net Assets Under Management, Holdings per Share, and Market Price per Share for our Investment Products.
— Grayscale (@Grayscale) March 22, 2021
Apart from Ripple, all other major assets tracked by CoinShares recorded some weekly inflows with $85.3 million flowing into BTC.
Notably, bitcoin investment product trade volumes were moderated to about $713 million per day in the past week on average, significantly down from the $1.1 billion average recorded so far in 2021.
Inflows into Ethereum products surged by $7.8 million, with the multi-asset funds generating $4.2 million. The latest report from CoinShares focused on a regional divide in institutional demand, with the US seeing a drop in appetite while Canada and Europe reporting gains.
Canada has become a hotbed of Bitcoin ETFs, with the Purpose Bitcoin exchange-traded fund recording $100 million in volume briefly after its launch in February. The fund is expected to exceed all the other ETFs in Canada within two months.
Institutional investors have also become a major driving force of the cryptocurrency bull market, maybe even setting the stage for a longer rally than the retail-driven euphoria that happened in 2017. BTC’s price surpassed $61,000 earlier this month, with a prominent bitcoin miner predicting that a peak in the range of $150,000 to $300,000 will happen.