According to CoinShares’ Weekly report, a surge in dip buying helped drive a sixth consecutive week of inflows for institutional crypto investment products broadly. The $95 million worth of inflows between Sept. 20 and Sept. 24 marks a 126% weekly inflows increase. BTC and Ether investment products led the pack with $50.2 million and $28.9 million worth of inflows, respectively.
Inflows to Bitcoin products also increased by 234% week-over-week.
While Bitcoin investment products have seen outflows in 13 of the past 17 weeks, positive sentiment towards the leading crypto asset rose during September as inflows were recorded for the past three weeks. Inflows to Bitcoin products also increased by 234% week-over-week. Institutional appetites for altcoins appear to remain strong, with products tracking Solana (SOL), Cardano (ADA), and Polkadot (DOT) posting inflows of $3.9 million, $2.6 million, and $2.4 million, respectively. Multi-asset funds also saw inflows of $6.4 million this past week.
China gives a huge blow to the crypto market.
Last week, the People’s Bank of China (PBoC) published a memo announcing a ban on all crypto transactions that triggered an 8% dip in the price of Bitcoin (BTC) along with a wider pullback across the crypto market. The PBOC’s updated measures — initially published on Sept. 3 before it was picked up by western media outlets last week — outlined that financial institutions and payment firms are barred from providing any services related to crypto transactions. While FUD from Chinese regulators has historically impacted crypto markets, it has also served as a catalyst for surging prices or bull runs in the subsequent months following the announcements.