Crypto investment products experienced a notable resurgence last week, as improving macroeconomic conditions led to a marked reversal in institutional sentiment, according to data released by asset manager CoinShares. The sector witnessed inflows totaling $1.1 billion, marking the most robust weekly performance since early January. Factors contributing to this revival included hopeful ceasefire developments in Iran and softer-than-expected US Consumer Price Index (CPI) data, which collectively restored investor confidence, noted James Butterfill, head of research at CoinShares.
U.S. investors dominated the resurgence, accounting for an impressive $1.06 billion, or 95%, of the global inflows. A significant portion of this activity—$833.2 million—was funneled into U.S. spot Bitcoin exchange-traded funds (ETFs), as per data from Farside Investors. Trading volumes also saw a week-over-week increase of 13%, rising to $21 billion, although this figure remains below the year-to-date average of $31 billion, indicating potential for further recovery.
The inflow surge highlighted sophisticated positioning among institutional investors, who simultaneously increased both bullish bets and downside hedges. Bitcoin funds attracted $871 million globally, while Ethereum saw inflows of $196.5 million last week, which followed three weeks of outflows. Notably, short-Bitcoin products recorded inflows of $20.2 million, their highest weekly total since November 2024. This dual positioning approach indicates that institutions are not only increasing their crypto exposure but are also safeguarding against possible volatility.
With last week’s performance, Bitcoin has now garnered just under $2 billion in year-to-date inflows, representing 83% of the $2.3 billion total crypto exchange-traded product (ETP) inflows recorded thus far in 2026. However, Ethereum remains one of the few assets in negative territory this year, with cumulative outflows of $130 million, despite its recent recovery.
In terms of performance, XRP funds led the previous week with nearly $120 million in inflows, outpacing Bitcoin funds during that time. However, XRP investments dipped to $19.3 million last week, according to the CoinShares report.
Last week’s institutional surge unfolded following five consecutive weeks of outflows totaling $4 billion, which had severely dampened market sentiment through March. This rebound coincided with the launch of Morgan Stanley’s Bitcoin ETF, which attracted nearly $62 million in investments after its debut. The firm has also submitted applications for Ethereum and Solana ETFs and is exploring additional crypto offerings, such as a tokenized money market fund and tax-harvesting services for its clients, as shared by Amy Oldenburg of Morgan Stanley.
