The return of Donald Trump to the presidency has caused a wave of enthusiasm within the digital asset market, with institutional traders making daring bets on cryptocurrencies like XRP and Solana. This development is famous by the CoinShares’ Digital Asset Fund Flows Weekly Report, which reveals a historic inflow of funds into the crypto market with complete belongings underneath administration (AuM) now at a brand new all-time excessive.
Trump Euphoria Sparks Report-Breaking Inflows
It has been just a few weeks into 2025, however funding funds tied to cryptocurrencies are already pulling in loopy numbers which can be a tease of what’s to come back all year long. In response to knowledge from CoinShares, crypto asset funding funds witnessed inflows of $2.2 billion final week, the most important influx thus far this yr. Notably, this marks a rise of about 4,480% from the $48 million in internet inflows that the funds acquired within the earlier week.
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The huge enhance in fund inflows was attributable to a euphoria surrounding Donald Trump’s incoming administration, which many are expecting to be favorable in direction of the crypto business. This euphoria drove the full AuM in crypto funds to $171 billion on the finish of final week, which can be its highest worth ever.
Unsurprisingly, Bitcoin was the standout performer. By way of move, Bitcoin noticed $1.9 billion in internet inflows, bringing its YTD complete to $2.7 billion in three weeks. Bitcoin additionally noticed outflows of about $0.5 million from quick positions, additional relaying the bullish sentiment.
The outflow from short-Bitcoin funds could be very stunning, given they tend to receive inflows throughout worth rallies, as proven by flows in earlier weeks. Buying and selling volumes on exchange-traded merchandise (ETPs) additionally soared to $21 billion, accounting for 34% of Bitcoin’s buying and selling quantity on trusted exchanges.
Huge Gamers Wager Huge On XRP And Solana
XRP and Solana are two surprising standout performers amidst the final inflows. These usually are not stunning, as there have been information headlines flying round throughout the week that the Trump administration is probably going going to prioritize cryptocurrencies created within the US like XRP and Solana.
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XRP continues to garner vital consideration, recording $31 million in inflows final week alone. Since mid-November 2024, XRP has collected a formidable $484 million in complete inflows. This run of inflows reveals that XRP is having a growing appeal among institutional investors, which is relayed by means of its worth motion over the previous few months. XRP now finds itself buying and selling close to its all-time high of $3.40, having just lately reached an intraday excessive of $3.34 up to now 24 hours.
Solana’s funds additionally witnessed $2.5 million in inflows final week. This quantity is projected to increase substantially by the subsequent report, given the success of the Official Trump meme coin, which was launched on the Solana community.
Regionally, the US dominated inflows with $2 billion, adopted by Switzerland at $89 million and Canada at $13 million. Additionally, Ethereum noticed inflows of $246 million final week to reverse earlier outflows. Nonetheless, Ethereum is still the poorest performer amongst main belongings by way of fund flows this yr with $28 million in outflow.
Featured picture from Medium, chart from Tradingview.com
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