FameEX Hot Topics | Surging Bitcoin and Ethereum Fuel $572M Crypto ETP Inflows

On Monday, European crypto asset manager CoinShares revealed that global crypto exchange-traded products (ETPs) attracted $572 million in inflows during the trading week that ended Friday. Ethereum exchange-traded products (ETPs) led the cryptocurrency investment market last week, recording the largest inflows among all digital assets at nearly $270 million. The surge coincided with a recovery in Bitcoin prices and Ethereum briefly hitting the $4,000 level for the first time since December 2024. These gains pushed year-to-date (YTD) inflows for Ethereum ETPs to a record $8.2 billion, while total assets under management (AUM) climbed to an all-time high of $32.6 billion — marking an 82% rise since the start of the year.

CoinShares head of research James Butterfill attributed the rebound in crypto ETP flows to the U.S. government’s announcement last Thursday allowing digital assets in 401(k) retirement plans. Early in the week, investor sentiment was subdued, with $1 billion in outflows triggered by economic concerns following weaker-than-expected U.S. payroll data. However, momentum shifted dramatically in the latter half of the week, as $1.57 billion in inflows poured in following the policy change.

The broader cryptocurrency ETP market benefited from the improved sentiment. Bitcoin ETPs saw $265 million in inflows after enduring two consecutive weeks of net outflows. While Ethereum maintained the top spot in inflows, Bitcoin’s rebound highlighted renewed institutional interest sparked by the 401(k) announcement. Overall, YTD inflows across all crypto ETPs have reached $30.7 billion, with combined AUM surpassing $226 billion for the first time in history.

Among issuers, BlackRock’s iShares crypto ETFs once again led the pack, drawing $294 million in inflows. Although this was a 61% drop from the prior week’s $749 million, the funds closed Friday with $98.9 billion in AUM, edging closer to the $100 billion milestone. The slowdown reflected a broader cooling in inflows following a strong July, though overall investor demand remained resilient.

Other notable movements included Grayscale Investments, the second-largest crypto ETP issuer with $35.4 billion in AUM, which recorded $87 million in inflows, just behind Bitwise’s $95 million. Fidelity Investments, in contrast, posted the largest losses among major issuers, with $55 million in outflows. Despite the mixed issuer performance, the week’s results underscored a growing optimism toward crypto assets, fueled by supportive regulatory developments and recovering market conditions for both Bitcoin and Ethereum.

Disclaimer: The information provided in this section is for reference only and does not represent any investment advice or the official views of FameEX.