- Digital asset investment products saw $407 million inflows and BTC $419 million inflows.
- Political factors relating to the US elections have been attributed.
A weekly CoinShares report attributes $407 million inflows into digital asset investment products to US political shifts. The October 5-11 inflows come amid stronger-than-expected economic data in the US.
CoinShares report now attributes the inflows to the upcoming US elections rather than the Fed’s policy outlook. CoinShares head of research, James Butterfill said:
“This trend is evident in the fact that stronger-than-expected economic data had little impact on stemming outflows,” adding that “polling toward the Republicans,” contributed to an “immediate boost in inflows and prices.”
According to the CoinShares report, Republicans are widely seen to support digital assets. A recent report by the New York Times has projected a Republican control of the US Senate in the November 5 elections.
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Total Bitcoin Inflows
Inflows into Bitcoin totaled $419 million, the highest, with only $6.3 million for short-Bitcoin investment products. Blockchain equity exchange-traded funds (ETF) saw $34 million in weekly inflows, the largest in 2024.
The inflows coincided with a rise in the price of Bitcoin, which hit $66,000 on October 14, the date of the CoinShares report. The price of Bitcoin last tested this level in late September, rekindling bullish interest should the level be broken.