Crypto funds have experienced a second consecutive week of inflows, totaling $716 million, as investor sentiment across the cryptocurrency markets continues to stabilize and improve. This influx of capital has raised the total assets under management (AuM) in the sector to $180 billion, reflecting a 7.9% recovery from lows seen in November. Nonetheless, the current total remains significantly below the all-time high of $264 billion.
Recent data indicates that the inflows are widespread across major regions, highlighting a renewed global interest in cryptocurrencies. The United States led the way with $483 million in inflows, followed by Germany with $96.9 million and Canada with $80.7 million. This trend underscores a coordinated resurgence of institutional interest across North America and Europe.
Bitcoin has proven to be the primary beneficiary of this renewed interest, attracting $352 million in weekly inflows. This brings Bitcoin’s year-to-date (YTD) inflows to $27.1 billion, while still trailing the $41.6 billion recorded in 2024. Despite a rocky few months, the recent inflows signal newfound momentum for the leading cryptocurrency. Conversely, short-Bitcoin products experienced outflows of $18.7 million, marking the largest withdrawal since March 2025. Historically, such outflows have aligned with price lows, indicating that traders are increasingly abandoning bearish positions as downside pressure diminishes.
While the overall sentiment appears to be shifting positively, daily data showed minor outflows on Thursday and Friday. Analysts attribute these fluctuations to newly released US macroeconomic data that hinted at persistent inflation issues. According to James Butterfill from CoinShares, this temporary dip in inflows suggests that while investor sentiment is improving, it remains susceptible to changes in interest rate expectations and guidance from the Federal Reserve.
In addition to Bitcoin, XRP has also made a notable impact, recording $245 million in weekly inflows. This pushes XRP’s YTD inflows to $3.1 billion, a significant increase compared to its total of $608 million for all of 2024. The sustained demand for XRP demonstrates growing optimism about its institutional use cases and favorable regulatory status in key jurisdictions. Additionally, Chainlink has attracted attention this week, garnering $52.8 million in inflows—its largest weekly intake on record—representing over 54% of its total exchange-traded product (ETP) AuM.
The latest inflow trend follows a particularly strong performance at the end of November, when crypto funds saw $1.07 billion in inflows, largely driven by rising expectations for potential interest rate cuts in 2026. These recent surges in capital flow reflect a gradual but consistent shift in institutional sentiment, despite lingering concerns about inflation. Although total AuM is still well below historic peak levels, the steady return of capital into Bitcoin, XRP, and Chainlink indicates a growing confidence that the worst of the recent risk-off cycle may have passed.
