Significant retail demand, accumulation from large investors and strong network activity have pushed the price of Bitcoin to a record high. BTC topped the price level of $68,500 on Monday for the first time in its history.
Additionally, Bitcoin’s institutional inflows have smashed all previous records this year as BTC investment products attracted a record $6.4 billion worth of institutional investments during the mentioned period. Inflows into Bitcoin investment products during the last 8 weeks has reached $2.8 billion.
The total market cap of Bitcoin now stands at around $1.3 trillion. Though, the crypto asset started this year with a market cap of nearly $500 billion. The remarkable growth in BTC’s price has made it one of the world’s most valuable financial assets.
“Digital asset investment products saw inflows totaling US$174m last week, marking the 12th consecutive week of inflows. This brings year-to-date inflows to US$8.9bn, significantly greater than the US$6.7bn seen in 2020. Total assets under management (AUM) have also reached a new all-time high of US$80bn. Bitcoin saw inflows totaling US$95m last week representing the largest inflows of all digital assets. Inflows in this 8-week bull-run now total US$2.8bn with year-to-date inflows now at a record US$6.4bn,” CoinShares highlighted in its weekly digital asset fund flows report.
Bitcoin vs Altcoins
The crypto market crossed the total capitalization of $3 trillion yesterday for the first time in its history. Bitcoin’s dominance has remained evident throughout this year but altcoins like Solana and Ethereum not only touched record price levels this week, but their crypto market dominance has increased substantially. As a result, institutional investors have started considering altcoins as good tools for portfolio diversification.
“Altcoins remain popular with markable inflows from Polkadot, Solana and Cardano totaling US$9.6m, US$8.5m and US$5m, respectively. Polkadot inflows last week represent the largest weekly on record. Tron, a digital platform focused primarily on Hosting entertainment applications, has seen inflows totaling US$79m over the last 7 weeks making it the 8th largest by AuM,” CoinShares added.
