$1.4 Billion Pours Into Crypto — What’s Driving The Surge?

The Crypto Fear & Greed Index climbed above 29 on Monday for the first time since January 29, pulling out of “extreme fear” and settling into plain “fear.” It is a small move on a scale, but in crypto markets, it signals a shift in mood that money tends to follow.

Crypto investment products drew $1.4 billion in fresh inflows last week, according to data from CoinShares — the second-largest weekly figure recorded since January. The gain built on the prior week’s $1.1 billion, stretching the inflow run to three straight weeks and $2.7 billion combined.

Total assets under management across crypto exchange-traded products rose close to $155 billion, the highest mark since early February. Just weeks earlier, in March, that figure had fallen as low as $128 billion.

CoinShares head of research James Butterfill pointed to a recovering appetite for risk, tied largely to ongoing US-Iran ceasefire talks. Bitcoin’s price added to the mood, briefly pushing toward $78,000 on Friday before pulling back.

Bitcoin products captured the bulk of the action. Data shows inflows into Bitcoin ETPs reached $1.12 billion for the week, pushing year-to-date totals to $3 billion, with assets under management sitting at $123 billion. US spot Bitcoin ETFs alone accounted for roughly $1 billion of that weekly total.

Ether had its strongest week since January, pulling in $328 million. That was enough to flip Ether ETPs into positive territory for the year, with year-to-date inflows now sitting at $197 million.

Not everything moved in the same direction. XRP products bled $56 million in outflows, the largest among altcoins. Solana recorded smaller but still negative flows of $2.3 million.

Short-Bitcoin products took in just $1.4 million, suggesting only a thin slice of investors are still betting against the market.

Geographically, the US drove most of the action — $1.5 billion in inflows. Germany came in second at $28 million. Switzerland ran the other way, posting $138 million in outflows.

March CPI came in at 3.3% year over year, with core inflation at 2.6%. Based on reports from CoinShares, markets largely looked past the headline number, treating core inflation as contained and supply-driven rather than broad-based.

Featured image from Meta, chart from TradingView