After six consecutive weeks of outflows, institutional sentiment for digital assets is turning, with net inflows of US$21 million last week, according to CoinShares, Europe’s largest digital assets fund manager.
- Total assets under management (AUM) across all digital asset fund providers rose to US$57.3 billion, the highest since mid-May, driven by the recent surge in the crypto market.
- Solana, a proof-of-stake blockchain and challenger to the Ethereum blockchain, saw US$7.1 million of inflows, the largest of any digital asset last week.
- Cardano, ranked third largest cryptocurrency by market value after Bitcoin and Ethereum, saw inflows of US$6.4 million. Cardano’s ADA has been on an upward price trend with the Sept. 12 launch date for its much anticipated “Alonzo” hard fork drawing close.
- Ethereum saw inflows of US$3.2 million. Other altcoins such as Litecoin, Polkadot and XRP saw inflows of US$1.8 million, US$1.1 million and US$1 million respectively.
- But institutional investors still seemed down on Bitcoin, the largest cryptocurrency by market value. Bitcoin saw US$2.8 million of outflows — its seventh consecutive week of outflows. Bitcoin was the only major digital asset that saw outflows last week, CoinShares reported, although the outflows were minor compared to the US$22 million outflows the week before. Bitcoin yesterday surged past US$50,000 for the first time since May when the crypto market crashed from Elon Musk tweeting that Tesla would no longer accept Bitcoin for payment and China announcing its crackdown on Bitcoin mining and trading.