BTC, ETH Dominate Investment Inflows, XRP ETF on Radar

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As a seasoned crypto investor with over a decade of experience navigating this dynamic digital landscape, I find myself increasingly optimistic about the current market trends. The consistent net inflows into Bitcoin and Ethereum, coupled with the growing interest in XRP, are not just numbers on a screen for me – they’re opportunities ripe for the taking.

For ten weeks straight, crypto investment products have seen net inflows, with Bitcoin (BTC $106,118) and Ethereum (ETH $3,934) leading the charge in attracting most of these inflows. Notably, Ethereum has been particularly popular. Meanwhile, investments into XRP are on the rise as well, fueled by growing speculation about an upcoming approval for an XRP Exchange-Traded Fund (ETF). Here’s a quick snapshot of their current statistics:

Last week, from December 9th through December 13th, a cryptocurrency investment company called CoinShares noted an inflow of approximately $3.2 billion into digital asset investment products, as detailed in their latest report.

During the recent period, there was a new high of $3.85 billion in weekly investments, bringing the total for 2024 to an impressive $44.5 billion. This record-breaking figure is the result of consistent weekly investments since early October, with the last ten weeks adding $20.3 billion or roughly 45% of the year’s total inflows.

BTC, ETH Dominate Total Inflows

Over the past seven days, there has been a significant injection of $2 billion into Bitcoin investment vehicles. Consequently, the cumulative investment in these Bitcoin products since Donald Trump’s election victory now stands at approximately $11.5 billion. It is worth noting that BlackRock’s iShares Bitcoin Trust (IBIT) played a substantial role in last week’s net inflows.

Last week saw a significant increase in activity for short Bitcoin investment products, bringing in approximately $14.6 million – a rise from the previous week. Yet, despite this surge, the total assets managed by these short Bitcoin exchange-traded products (ETPs) still remain comparatively modest at around $130 million, according to James Butterfill, CoinShares’ head of research.

Just like Bitcoin, Ethereum (ETH), the second-largest cryptocurrency, experienced significant investment last week. In a span of December 9-16, Ethereum ETFs attracted over a billion dollars in new investments during that period.

Week after week for seven straight times, there has been an increase in funds flowing into Ethereum Exchange Traded Products (ETPs), indicating a continuous growth trend. During this timeframe, these Ethereum ETPs collectively received approximately $3.7 billion in new investments.

XRP ETF Expectations Lead to Strong Inflows

According to CoinShares’ report, there were inflows of approximately $145 million into altcoin XRP, driven by increasing optimism regarding a potential US-listed Exchange Traded Fund (ETF). The anticipation for an XRP ETF has risen significantly since Donald Trump’s election victory, as analysts foresee a swift resolution in the Ripple vs SEC legal dispute. Notable market players like WisdomTree have also stepped forward to file an application for an XRP ETF.

Over the last weekend, some reports suggested BlackRock could be filing an application for XRP ETF, suggesting that it could inject substantial liquidity into the market. This shift could pave the way for ETF applications for other cryptocurrencies, such as Cardano and Dogecoin, further enhancing investor confidence and interest in these assets.

For the last seven days, the value of XRP has been hovering near the $2.4 resistance level, hinting at a possible surge towards $3. Nevertheless, the increasing influx of funds indicates mounting optimism among cryptocurrency traders regarding the fourth largest digital currency.

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2024-12-16 19:00