Year-to-date, inflows into cryptocurrency-related investment products have surged to a new peak of $14.9 billion, as reported by CoinShares in its weekly update. This milestone follows a third consecutive week of inflows totaling $1.05 billion. Notably, trading volumes for exchange-traded products (ETPs) spiked by 28% to $13.6 billion during this reporting period, a marked departure from previous subdued market activities.

James Butterfill, head of research at CoinShares, highlighted that recent market price increases have boosted the total assets under management for digital asset ETPs to $98.5 billion. The breakdown of flows indicates that Bitcoin-focused ETPs dominated, capturing 99% of total inflows with $1.01 billion added last week. Conversely, products shorting Bitcoin continued to experience outflows, totaling $4.3 million.

Butterfill interpreted these substantial Bitcoin ETP inflows as a sign of renewed positive sentiment in the market, despite recent price gains. He attributed this shift in sentiment to investor optimism following the Federal Open Market Committee (FOMC) minutes and recent macroeconomic data suggesting a mildly dovish stance.

In addition to Bitcoin, Ethereum-related investment products also saw a resurgence, attracting $36 million in inflows, the highest since March. Butterfill noted that these inflows were likely influenced by early reactions to the approval of Ethereum ETFs in the United States.

Among other major digital assets, inflows exceeded $10 million for Solana, Chainlink, and Litecoin during the reporting period. However, in Hong Kong, sentiment towards cryptocurrency ETFs differed significantly. Despite a strong initial launch with Bitcoin spot-based ETFs that saw $300 million in the first week, Hong Kong experienced subsequent outflows amounting to $29 million last week. This brings the total outflows in the region to approximately $80 million this month, the highest among countries tracked by CoinShares.