Crypto ETPs Reach $44.5 Billion in YTD Inflows as Bitcoin Nears $106,000

The global crypto exchange-traded products (ETP) market has witnessed extraordinary growth this year, with inflows hitting $44.5 billion year-to-date (YTD). This marks a staggering 300% surge compared to any previous year, as highlighted by CoinShares in its latest fund flows report.

$3.2 Billion Added in a Week Amid Bitcoin Rally

Investors have continued to show robust confidence in digital asset investment products, with an additional $3.2 billion pouring into the market over the past week. This represents the 10th consecutive week of positive inflows, propelling the average weekly trading volume to $21 billion. Notably, Bitcoin-focused ETPs account for 30% of this activity on major exchanges.

Bitcoin Leads the Charge with $2 Billion Weekly Inflows

Bitcoin has emerged as the standout performer in this trend, attracting $2 billion in weekly inflows as the cryptocurrency hovers around the psychological $100,000 mark. Following the U.S. election, Bitcoin has garnered $11.5 billion in inflows, driving the total assets under management (AUM) in Bitcoin ETPs to over $135 billion.

As of December 13, global digital asset investment products reported an AUM of $167.4 billion. Data from SoSoValue shows Bitcoin ETFs have seen cumulative net inflows of $35.6 billion, with trading volumes surpassing $3.1 billion. BlackRock’s iShares Bitcoin Trust continues to dominate the market, outpacing other ETFs with remarkable net flows.

Ethereum and Altcoins Also Gain Momentum

Ethereum has also experienced a significant uptick, recording $1 billion in inflows over the past week and $3.7 billion over the last seven weeks. Analysts predict Ethereum could surpass Bitcoin in ETP inflows in 2025 as institutional interest accelerates.

Altcoins such as XRP, Polkadot, and Litecoin have also seen notable inflows. XRP attracted $145 million last week, while Polkadot and Litecoin saw $3.7 million and $2.2 million, respectively.

XRP’s increasing popularity among institutional investors has been linked to Ripple’s developments, including the launch of its stablecoin RLUSD and growing adoption of cross-border payments. Experts suggest the potential approval of XRP ETFs by the U.S. Securities and Exchange Commission (SEC) could further boost its momentum.

Crypto Stocks Ride the Wave

The recent surge in cryptocurrency prices has also positively impacted crypto stocks. MicroStrategy, a key Bitcoin holder, has seen its stock price soar alongside Bitcoin's rally.

A Record-Breaking Year for Crypto ETPs

With YTD inflows reaching unprecedented levels, the crypto ETP market continues to reflect the growing institutional and retail demand for digital assets. As Bitcoin’s price surpasses $106,000 and altcoins maintain their upward trajectory, the crypto investment landscape appears poised for sustained growth into the coming year.