Crypto Funds Attract $619 Million in a Week

Crypto funds attracted $619 million in early March, driven by U.S. institutional investors.

Between March 2 and 6, inflows into cryptocurrency investment products reached $619 million, according to a report by analysts at CoinShares.

The trend was uneven. In the first three days, investors poured in $1.44 billion. On March 5 and 6, sentiment worsened, resulting in outflows of $829 million.

Analysts attributed this shift to macroeconomic volatility. Rising oil prices offset the positive impact of weak U.S. labor market data. Expectations for a decline in inflation were not met.

Almost all the inflow was driven by institutional investors from the United States, who invested $646 million. Investors from Europe, Asia, and Canada were more cautious, with outflows of $23.8 million, $2.2 million, and $3.6 million, respectively.

The primary focus was, as usual, on Bitcoin. Inflows into instruments based on the leading cryptocurrency reached $521 million. Meanwhile, $11.4 million was invested in structures allowing short positions on digital gold. Analysts saw this as a sign of polarised opinions among investors.

Among altcoins, the leaders were Ethereum ($88.5 million) and Solana ($14.6 million). Funds based on Uniswap and Chainlink attracted $1.4 million each.

XRP was the only major asset with negative dynamics, as investors withdrew $30.3 million from related products.

Back in late February, inflows into crypto funds amounted to $1 billion.