The digital asset market has entered a period of recovery, with investors putting $1.4 billion into crypto-based funds over the last week. This marks the third straight week of positive flows and the strongest reading since January.
According to CoinShares’ latest report, total assets under management (AUM) rose to $155 billion, with most of the institutional demand being highly concentrated in Bitcoin and Ethereum. The data points to a steady return of investor interest after a period of uneven activity in the market.
CoinShares linked the trend to improving sentiment in broader financial markets and Bitcoin’s move above $76,000, which helped support buying activity. The price move appears to have encouraged more participation, particularly from larger investors.
Bitcoin dominates as selective buying emerges
The report further shows Bitcoin led inflows with $1.116 billion, bringing its year-to-date total to $3.1 billion. The increase came as Bitcoin moved above $76,000, a level many traders see as an important technical point after weeks of sideways trading.
Hedging demand was also muted. Bitcoin shorts attracted only $1.4 million in fund flows, implying that there were minimal bets on an economic correction.
On the other hand, Ethereum continued to receive considerable attention as it witnessed the largest fund flow since January, amounting to $328 million. Meanwhile, sentiments remained selective for altcoins, with XRP experiencing fund outflows of $56 million and Solana’s fund outflows of $2.3 million.
Regional trends and market signals
The United States accounted for the bulk of global inflows, attracting $1.5 billion into digital asset products, and Germany added $28 million. This was partially offset by profit-taking in Switzerland, which saw $138 million in outflows.
Inflation data in the US also played into market sentiment. March consumer prices rose 3.3% year-on-year, while core inflation stayed at 2.6%, suggesting price pressures are gradually easing rather than building.
As of writing, according to CoinMarketCap data, the total crypto market capitalization stood at $2.53 trillion. Bitcoin traded just below $76,000 after retreating from recent highs near $78,000, as markets consolidated following the latest rally.
Nevertheless, geopolitical developments keep affecting the market mood. Ongoing geopolitical tensions and the “April Hack Wave“—which has seen over $606 million lost to DeFi exploits—continue to provide a cautionary backdrop to the current recovery.
Also Read: Crypto’s $606M April Nightmare: 12 Hacks, 18 Days, Worst Month Since Bybit Heist
