Digital Asset Investment Inflow Top $27B in 2024, Tripling 2021’s Record
Key Takeaways
- Bitcoin led October inflows, outshining altcoins significantly.
- U.S. election optimism boosts crypto investments, especially in Bitcoin.
- Altcoins face outflows, reflecting a shift toward Bitcoin’s stability.
Digital asset investment products surged to a new high in October, with inflows bursting through the $27 billion mark, more than tripling the $10.9 billion total seen in all of 2021.
The month’s euphoric tone, buoyed by growing optimism surrounding the U.S. presidential elections, catapulted October to the fourth-most-bullish month as investors piled into digital assets with renewed fervor.
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Bitcoin Investment Outshines Altcoins as October Closes
Crypto investment products saw net inflows of $901 million in the last week of October, with Bitcoin-based products dominating the market—whether through exchange-traded funds or private investments.
According to CoinShares , Bitcoin (BTC) led with $920 million in net inflows, while short-Bitcoin products saw outflows of $1.3 million, suggesting a turn toward bullish sentiment for the asset.
Flows by asset. Source: CoinSharesIn contrast, Ethereum (ETH) suffered substantial outflows, losing $35 million, marking its weakest weekly performance in recent months.
Among altcoins, Solana captured investor interest with $10.9 million in inflows, followed by multi-asset products at $2.1 million.
The pivot from altcoin-based products to Bitcoin investments signals growing traditional investor confidence in Bitcoin as the market steadies into year-end.
U.S. Dominates Digital Asset Investments
The U.S. dominated digital asset inflows in the final week of October, with U.S.-based crypto investment products pulling in $906 million, the bulk of global demand.
Flow by country. Source: CoinShares.With nearly a dozen Bitcoin ETFs and multiple Ethereum ETFs, the U.S. remains a central hub for crypto investment products.
By contrast, other regions saw moderate interest: Germany recorded $14.7 million in inflows, while Switzerland added $9.2 million.
Meanwhile, Canada, Brazil, and Hong Kong saw outflows of $10.1 million, $3.6 million, and $2.7 million, respectively.
CoinShares attributed the surge in U.S. BTC product inflows to growing optimism around the upcoming elections, where Republican candidate Donald Trump—who has taken a notably pro-crypto stance—leads Democratic candidate Kamala Harris by over 30% in recent polls.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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