Digital Assets Surge 151% Year-to-Date With Bitcoin and Ethereum Leading Inflows

Digital assets have experienced a remarkable surge in inflows over the past ten weeks, with Bitcoin and Ethereum leading the charge. This impressive streak has propelled year-to-date inflows to an unprecedented record high of US$15.1 billion, according to a recent report by a leading digital asset investment firm.

Despite prevailing geopolitical uncertainties, particularly emerging reports of US involvement in the Iran conflict and the recent US Juneteenth holiday which caused a slight tapering of activity in the latter half of the week, investor sentiment remains robust. This signals a growing maturity in the digital asset market, where investors appear to be viewing price corrections as opportunities for accumulation rather than reasons for withdrawal.

Bitcoin continued to lead the charge for the second consecutive week, attracting a significant US$1.1 billion in inflows. This strong performance, even amidst a recent price correction, suggests that institutional and retail investors are actively “buying on weakness,” indicating a bullish long-term outlook for the flagship cryptocurrency. Further supporting this sentiment, short-Bitcoin products saw minor outflows of US$1.4 million, reflecting a diminishing bearish bias.

Ethereum recorded its ninth consecutive week of inflows, adding US$124 million to its coffers. This remarkable run brings the cumulative inflows for this period to an impressive US$2.2 billion, marking Ethereum’s longest continuous inflow streak since mid-2021. This sustained interest underscores a strong and continued investor belief in Ethereum’s ecosystem and its future prospects, potentially fueled by ongoing developments and the anticipation surrounding its various upgrades.

The United States overwhelmingly dominated regional inflows, accounting for a staggering US$1.25 billion. This highlights the significant impact of the burgeoning US institutional market, particularly with the success of US-based spot Bitcoin and likely Ethereum ETFs. Canada and Germany also saw positive inflows of US$20.9 million and US$10.9 million respectively.

Conversely, Hong Kong experienced notable outflows of US$32.6 million, while Switzerland saw US$7.7 million in outflows. These regional discrepancies could be attributed to a variety of factors, including local regulatory environments, market sentiment, or specific investor behaviors within those regions.

Beyond the top two cryptocurrencies, other altcoins also garnered attention. Solana attracted US$2.78 million in inflows, and XRP saw US$2.69 million in new capital, indicating selective but continued investor interest in a broader range of digital assets.

The persistent inflow trend, especially in the face of geopolitical turbulence, demonstrates a foundational shift in how traditional investors perceive digital assets. Rather than being seen purely as speculative ventures, cryptocurrencies, particularly Bitcoin and Ethereum, are increasingly being recognized as legitimate components of diversified investment portfolios, capable of attracting significant capital even during periods of market uncertainty. This sustained institutional appetite is a powerful indicator of the evolving landscape of global finance.