The cryptocurrency market saw a major jump in the last two weeks as the overall market cap of digital currencies spiked by approximately $500 billion. Due to the latest jump, the overall value of global cryptocurrency assets under management (AUM) increased rapidly.
According to the latest weekly digital asset fund flows report published by CoinShares, the total value of international cryptocurrency AUM crossed the level of $50 billion last week, which is its highest level since the middle of May 2021.
Additionally, CoinShares highlighted an interesting fact about Ethereum , the world’s second-most valuable cryptocurrency. According to the data, Ethereum’s market share has increased significantly since the start of 2021, and the cryptocurrency now represents around 26% of the total investment products. In January 2021, Ethereum accounted for just 11% of the total crypto AUM.
“Ethereum saw minor inflows totaling US$2.8m last week, it has not seen the same level of outflows over the last few months relative to Bitcoin . Other cryptocurrency assets saw minor inflows, such as XRP, Bitcoin Cash, Cardano and multi-asset which saw inflows of US$1.1m, US$1m, US$0.8m and US$0.8m respectively,” CoinShares mentioned in the report.
Cryptocurrency Adoption
According to a research report published by Crypto.com, global cryptocurrency users reached 221 million in June 2021. The adoption of digital assets increased rapidly in the last six months. In the latest weekly report, CoinShares highlighted a significant jump in the total number of cryptocurrency funds and investment products in 2021. “We have seen the number of funds/investment products listed accelerate recently with a record 37 launched this year compared to the previous high of 30 seen in 2018. The majority of these have been in actively managed funds, although their market share remains very small at 2.5% relative to passive investment products,” the company added.
During the last week of July 2021, Bitcoin investment products saw $20 million worth of outflows. Since mid-May, the institutional interest in the world’s largest cryptocurrency has dried up.
