Bitcoin and crypto ETPs continue their impressive run just one week into the new year. According to a CoinShares report filed by James Butterfill, crypto ETPs saw massive inflows of $585 million in the first few days of the year. Analysts say this early strong performance by crypto ETPs continues the assets’ impressive run from last year.
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In the same CoinShares Report, crypto ETPs to achieve outflows of more than $44 billion in 2024, with Bitcoin as the most traded digital asset. Bitcoin saw $38 billion in inflows, representing nearly 30% of all assets under management (AUM), while Ethereum saw over $4.8 billion in net inflows in the latter half of the year. Has picked up speed with
Bitcoin ETPs lead the pack
CoinShare’s James Butterfill shared these findings on the performance of crypto ETPs on the company’s official site and social media pages. Bitcoin ETPs were the preferred digital investment product, accounting for $38 billion of all bitcoin AUMs in global ETPs, the report stated.
2024 sees inflows of US$44bn into crypto ETPs, 2025 off to a good start with inflows of US$585m so farhttps://t.co/OczGDBUdph
— James Butterfill (@jbutterfill) January 6, 2025
Ethereum ETPs are in second place, receiving approximately $4.8 billion in inflows in 2024, representing 26% of all ETH AUMs of global ETPs. ETP flows this past year are 2.4 times larger than the record recorded in 2021 and 60 times larger than in 2023.
Ethereum beat out Solana in terms of investments in 2024, with only $69 million, representing only 4% of all assets under management. While Solana’s numbers are low Bitcoin And ethereumIt still leads all other altcoins.
Approval of spot ETFs helps increase inflows
The industry sees record-breaking inflows in 2024, better than the bull market it experienced in 2021. In 2021, cryptocurrency investment products recorded a net inflow of more than $10 billion. In short, last year’s flow was 4 times larger than the amount recorded in 2021.
According to Bufferfill, growth in global crypto investment products benefited from the approval of spot ETFs for Bitcoin by the US in January 2024. In January 2024, the US Securities and Exchange Commission approved 11 applications for spot bitcoin ETFs, followed by eight spots. ETFs for Ether on May 22.
According to recent data, this spot Bitcoin ETF There are major reasons for the influx in Bitcoin-related investments. Butterfly also mentioned that these ETFs will redefine the flow for crypto investments in the future.
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Better days ahead for US Bitcoin Spot ETPs
In addition to CoinShares, Galaxy Digital also presented a rosy picture of the future of the crypto investment industry. In a report shared last December 31, 2024, the company boldly predicted that the US spot ETPs market will continue to grow in 2025. The report indicated that this year AUM will reach $250 billion this year.
Meanwhile, Alex Thorne of Firmwide Research said bitcoin ETPs are closing in on US gold ETPs in total value of assets under management.
Thorne added that Bitcoin will continue to be one of the top performing assets on its risk-adjusted basis. Other analysts shared that Ether’s spot ETPs will also grow this year. The Ethereum blockchain will benefit from a Trump presidency and favorable regulatory changes.
Featured images from OneSafe, charts from TradingView
