Crypto investment products experienced their strongest week in three months, attracting $1.1 billion in net inflows for the week ending April 11. This rebound follows five consecutive weeks of outflows totaling approximately $4 billion.
The turnaround is attributed to easing geopolitical tensions and a softer US inflation reading, which collectively boosted investor sentiment. US investors led the surge, accounting for $1.06 billion, with American spot Bitcoin ETFs drawing $833 million. Bitcoin funds attracted $871 million globally, while Ethereum saw a $196.5 million inflow, reversing recent outflows.
Amidst this renewed interest, institutional investors also allocated $20 million to short-Bitcoin products, signaling a hedged approach. XRP funds saw inflows of just over $19 million.
Morgan Stanley's new Bitcoin ETF has also drawn significant attention, pulling in nearly $62 million in its first week. The bank is reportedly exploring further crypto offerings, including potential Ethereum and Solana ETFs.
Total assets under management in crypto investment products have now reached levels not seen since early February.