Bitcoin ETFs Drive Crypto ETPs $3.3 Billion Weekly Inflows

Key Insights:

• Digital asset investment products recorded $3.3 billion in weekly inflows from Sept. 8 to 12.
• Bitcoin ETPs led with $2.4 billion inflows while Ethereum ended an eight-day outflow streak.
• Total assets under management reached $239 billion, approaching August’s all-time highs.

Digital asset exchange-traded products (ETPs) experienced their strongest weekly performance in months, attracting $3.3 billion in net inflows during the Sept. 8-12 period.

CoinShares reported that the surge followed weaker-than-expected US macroeconomic data that boosted investor appetite for crypto assets.

Total assets under management for crypto ETPs climbed to $239 billion by week’s end, marking the highest level since early August’s record $244 billion peak. The influx represented a sharp reversal from recent outflow trends that had pressured the sector.

Bitcoin ETF Drive Market Recovery

Bitcoin investment products captured the largest share of weekly inflows with $2.4 billion in net additions.

The figure marked Bitcoin ETPs’ strongest weekly performance since July and demonstrated renewed institutional confidence in the flagship cryptocurrency. US-based Bitcoin ETF dominated trading activity during the period.

Farside Investors’ data indicated that BlackRock’s IBIT recorded $366.2 million in inflows on Sept. 11, its strongest single-day performance of the week.

Fidelity’s FBTC added $315.2 million on Sept. 12, while Bitwise’s BITB contributed $168.2 million across multiple trading sessions.

Grayscale’s GBTC continued experiencing outflows, but at a reduced pace compared to previous weeks. The fund shed $222.9 million on Sept. 4 but posted smaller daily outflows throughout the Sept. 8-12 period.

Short-Bitcoin products recorded modest outflows during the week, reducing their combined assets under management to just $86 million.

The decline suggested a reduction in bearish sentiment among institutional investors.

Ethereum ETPs End Prolonged Outflow Streak

Ethereum investment products posted $646 million in weekly inflows, ending eight consecutive trading days of net outflows.

The reversal marked a significant shift in sentiment toward the second-largest cryptocurrency.

Ethereum ETPs recorded four straight days of inflows during the Sept. 8-12 period.

BlackRock’s ETHA led with $168.2 million in weekly additions, while Fidelity’s FETH contributed $88.3 million on Sept. 11 alone.

Grayscale’s ETHE continued to shed assets, but at a slower rate. The fund posted $167.3 million in outflows on Sept. 4 but reduced daily redemptions throughout the following week.

The Ethereum ETP recovery coincided with improved network fundamentals and anticipation of upcoming protocol upgrades. Institutional investors viewed recent price weakness as a buying opportunity.

Regional Investment Patterns Emerge

The US dominated global crypto ETP flows with $3.2 billion in weekly inflows. The figure represented 97% of total global additions and highlighted American institutional appetite for digital asset exposure.

Germany recorded the second-largest regional inflows at $160 million for the week. Friday marked Germany’s second-largest daily crypto ETP inflows on record, demonstrating growing European institutional adoption.

Switzerland bucked the global trend with $92 million in weekly outflows. The redemptions partially offset broader European gains but failed to dampen overall regional enthusiasm.

Canada contributed $14.1 million in weekly inflows while maintaining steady institutional participation. Hong Kong added $5.4 million during the period, suggesting modest Asian institutional interest.

Altcoins Gain Traction

Solana investment products posted their strongest week on record with $198 million in net inflows. Friday alone accounted for $145 million in additions, marking the largest single-day performance to date for Solana ETPs.

Multi-asset crypto products recorded minimal activity with just $1.1 million in weekly outflows. The slight decline suggested investors preferred single-asset exposure during the period.

XRP-focused products attracted $32.5 million in weekly inflows while maintaining steady institutional interest. Smaller altcoin products, including Sui and Chainlink, posted modest gains.

Aave and Avalanche products experienced minor outflows of $1.08 million and $0.66 million, respectively. The declines remained minimal compared to major cryptocurrency gains.

Market Outlook Strengthens

The $3.3 billion weekly influx pushed crypto ETP assets under management near record territory. End-of-week price gains across cryptos supported portfolio valuations and encouraged additional institutional participation.

CoinShares data confirmed the week marked a decisive shift in institutional sentiment following months of mixed flows. Weaker US economic indicators appeared to drive safe-haven demand for digital assets among professional investors.

Bitcoin and Ethereum ETPs led the recovery with combined inflows exceeding $3 billion.

The concentration suggested institutional focus remained on established cryptocurrencies despite growing altcoin product availability.