Crypto Exchange-traded Products (ETPs) Recorded $3.17 Billion in Inflows Last Week

Despite a flash crash, the crypto market saw a massive increase in Exchange-traded Products inflows. According to reports, $3.17 billion was recorded in inflows last week, showing crypto funds’ resilience to the market panic. The Head of Research at CoinShares, James Butterfill, wrote that Friday saw a little reaction to the market with $159 million outflows, however, the crypto funds showed great resilience with an overall $3.17 billion inflows.

In addition to a massive weekly hike in the crypto inflows, the crypto funds also reached a new milestone with the total inflow surpassing last year’s records, climbing to $48.7 billion year-to-date.

What Caused the Market Flash Crash?

The market correction last week was a result of US President Donald Trump’s fresh China tariff threats. Despite the market panic, crypto funds performed very well, with Bitcoin leading the inflows at $2.7 billion over the week.

CoinShares also reported a new all-time high in weekly trading volumes for crypto funds, which increased to $53 billion, including $15.3 billion on Friday alone.

According to Butterfill, the volumes were highest on Friday’s price correction, recorded at $10.4 billion. While the crypto funds showed significant resilience overall, Ether funds were hit with the largest outflows. The Ether investment products recorded $338 million in net inflows last week, but Friday saw massive outflows of $172 million. Butterfill mentioned that investors viewed Ether funds as the most vulnerable last week.

Important Reads: Bitcoin Could Rally to $150,000 After the $120,000 Breakout: Charles Edwards

Altcoin Market Slows Down Amid Market Panic

The altcoin investment products saw a significant slowdown last week. Solana funds attracted $93.3 million, coming down drastically from the prior week’s $706.5 million. On the other hand, XRP funds also came down from $219 million to $61.6 million. The slowdown in altcoin funds comes amid the growing hype around the forthcoming ETF launches of SOL and XRP ETFs.

As the US enters its third week of shutdown, at least 16 ETFs await approval. Industry experts expect a flood of ETF approvals as soon as the government shutdown ends.