Crypto News (December 9, 2024) – Bitcoin Leads Crypto Inflows with $2.5 Billion: What This Means for the Market
Crypto News (December 9, 2024) – The cryptocurrency market has reached a new milestone with Bitcoin surging past $100,000 for the first time in history, prompting record-breaking inflows into digital asset investment products. According to a report by crypto investment firm CoinShares, $3.85 billion was invested in crypto products during the week of Dec. 2–6, marking the highest weekly inflows ever recorded. This surpassed the previous record of $3.12 billion set in November, when Bitcoin was trading around $98,000.
Bitcoin Leads Inflows with $2.5 Billion
Bitcoin’s price rally fueled the growth of crypto investment products, with BTC investment products capturing the lion’s share, accounting for $2.5 billion of the total inflows. This brings the year-to-date inflows for Bitcoin-related products to $36.5 billion. The surge in Bitcoin’s value on Dec. 5, when it reached a peak of $104,000, coincided with the significant inflows, highlighting growing investor confidence in Bitcoin’s momentum. Meanwhile, short Bitcoin investors saw much smaller inflows of $6.2 million, signaling a cautious sentiment among those betting against Bitcoin’s strong upward trend.
Ethereum Sets Record with $1.2 Billion in Inflows
Ethereum also saw impressive inflows during the same period. With Ether (ETH) surpassing $4,000 on Dec. 6, Ethereum ETPs experienced $1.2 billion in weekly inflows. This marked the largest inflows in Ethereum investment products since the launch of the first Ethereum Exchange-Traded Funds (ETFs) in the U.S. in July. Ethereum’s gains came at the expense of Solana, which saw $14 million in outflows. Additionally, blockchain equities saw inflows of $124 million, driven by rising investor confidence in Bitcoin miner margins.
A Strong Year for Cryptocurrency ETFs
2024 has been a groundbreaking year for cryptocurrency ETFs, with spot Bitcoin ETF trading launching in the U.S. in January. On Dec. 6, Bitcoin ETF holdings surpassed 1.1 million BTC for the first time, overtaking the holdings of Bitcoin’s anonymous creator, Satoshi Nakamoto. This marks another historic moment for the cryptocurrency market, reinforcing the growing institutional interest in digital assets.
Conclusion: A Record-Breaking Week for Crypto Investments
The week of Dec. 2–6 has set a new precedent for cryptocurrency investments, with inflows reaching new heights across Bitcoin, Ethereum, and blockchain equities. As Bitcoin and Ethereum continue to dominate, investors are showing increasing confidence in the future of digital assets. The rise of cryptocurrency ETFs further solidifies the market’s growth, paving the way for more institutional adoption and mainstream acceptance in 2024.
Disclaimer: This article is for informational purposes only and does not constitute investment advice. Cryptocurrencies and stocks, particularly in micro-cap companies, are subject to significant volatility and risk. Please conduct thorough research before making any investment decisions.
Leave a comment