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Sellers were in control of crypto markets last week, but recent price weakness was taken as a buying opportunity by many institutional investors.
What’s the Scoop?
- Buying Panic: Despite dips in crypto prices many have attributed to sell pressure from
Mt. Gox and the German Government, data released from CoinShares shows digital asset investment products saw $441M in inflows last week. - Seeking Risk:
Bitcoin may have enjoyed the lion’s share of total crypto product inflows ($398M), but a 90% allocation to BTC is unusually low. Investors seemingly chose to diversify into altcoins last week, with 
Solana products experiencing 28% of year-to-date inflows last week.
Bankless Take:
Crypto prices have been moving lower since June, but investors decided to accumulate on last week’s dip, motivated by beliefs that multi-billion dollar asset forfeiture sales presented a discounted buying opportunity.
While there is always a risk these flows reverse, increasing breadth and risk-on sentiment demonstrated through the unusually low allocation to BTC combined with a stock market that continues to establish new all-time highs suggests crypto prices may rally in the near term.
📈 #Bitcoin saw inflows of US$397m but, unusually, only accounted for 90% of digital asset investment of inflows (US$441m) as investors chose to invest in a much broader range of altcoins.
— CoinShares (@CoinSharesCo) July 8, 2024
Get more insights in our full report: https://t.co/ZbgPDr9VKM pic.twitter.com/Asp4JtJMWA
