$3.3 Billion Floods Into Crypto in One Week, What’s Fueling the Surge?

Crypto asset investment products continued to see significant inflows last week, according to CoinShares’ latest weekly report. The firm reported $3.3 billion in inflows during the week ending May 24, pushing the year-to-date (YTD) total to $10.8 billion, a new record for 2024.

This marks the sixth consecutive week of inflows, signaling sustained investor demand for crypto assets amid growing macroeconomic concerns. CoinShares noted that total assets under management (AuM) briefly reached a new all-time high of $187.5 billion earlier in the week before retreating slightly.

Bitcoin and Ethereum Dominate Institutional Interest

Bitcoin once again led the inflow charts, attracting $2.9 billion last week, bringing its share of 2024 inflows to over 25%. The report also noted that some investors used the price strength as a chance to open short positions.

Short-Bitcoin products recorded their largest weekly inflow since December 2024, totaling $12.7 million. The mixed behavior among traders highlights ongoing divergence in sentiment regarding Bitcoin’s near-term trajectory.

Ethereum followed with $326 million in inflows, marking its strongest week in more than three months and continuing a five-week streak of positive sentiment. The increase in Ethereum-related flows comes amid improving investor confidence in its fundamentals and broader market positioning.

Other notable movements include the end of XRP’s long-standing inflow streak. The asset saw $37.2 million in outflows last week, breaking an 80-week streak and marking its largest recorded weekly exit.

While XRP had previously been seen as a more stable option among altcoins, this reversal may indicate a shift in investor sentiment or portfolio rebalancing.

Digital Asset Inflows Hit $3.3B in a Week, Driving YTD Total to Record $10.8B

Digital asset investment products saw inflows of US$3.3B last week. @Bitcoin saw inflows of US$2.9B @ethereum also saw inflows of US$326M. $XRP saw outflows of US$37.2M. Year-to-date inflows have… pic.twitter.com/eLnu5HfK8a

— CoinShares (@CoinSharesCo) May 26, 2025

Geographic Trends and Market Implications

The US accounted for the lion’s share of global inflows, with $3.2 billion recorded last week. Germany, Hong Kong, and Australia also posted notable gains at $41.5 million, $33.3 million, and $10.9 million respectively.

Conversely, Switzerland experienced $16.6 million in outflows as investors locked in profits following recent price strength. These regional flows reflect differing risk appetites and macro outlooks among institutional investors.

James Butterfill, head of research at CoinShares, commented that the inflow activity reflects investors seeking diversification amid macroeconomic uncertainties. Butterfill said.

We believe that growing concerns over the U.S. economy, driven by the Moody’s downgrade and the resulting spike in treasury yields, have prompted investors to seek diversification through digital assets.

As inflows remain strong and AuM approaches new highs, attention may now turn to how regulators respond to growing institutional interest in crypto products. The recent surge in activity could influence policy discussions around digital assets in both the US and international markets.

Featured image created with DALL-E, Chart from TradingView