Uninterrupted $1 billion surge in Crypto continues for a span of 3 months.
In an unprecedented surge, digital asset investment products have witnessed a staggering $18 billion in inflows over the past 12 weeks, marking a record high of $188 billion in assets under management (AuM). This sustained trend is largely attributed to increasing institutional interest and growing confidence in digital assets as a legitimate investment class.
Last week alone, a significant $1.04 billion flowed into digital assets, with the United States leading the charge, contributing about $1 billion. Meanwhile, the Total Crypto Market Cap excluding Bitcoin and Ethereum (TOTAL3) is hovering near $845 billion, above key support zones.
The TOTAL3 chart suggests consolidation among altcoins rather than collapse, and potential signs of a classic altseason rotation in the coming weeks. A key Fibonacci retracement level for TOTAL3 is at 0.236 Fib ($880 billion), with the 0.618 Fib near $922 billion acting as the next major upside target. If bulls reclaim the 0.236 level, potential targets for TOTAL3 could be at these levels, and even a retest of $958 billion.
Bitcoin remains dominant as the foundation of the digital asset market, accounting for the largest portion of inflows—$790 million last week. However, Bitcoin’s inflows have moderated recently, averaging $1.5 billion in prior weeks versus $790 million last week, suggesting investors are becoming more cautious as Bitcoin nears its all-time high price levels.
By contrast, Ethereum has outperformed Bitcoin in recent inflow growth. Ethereum added $226 million last week, marking its eleventh consecutive week of positive flows. The average weekly inflow for Ethereum has been 1.6% of its AuM over the past 11 weeks, double that of Bitcoin's 0.8%.
The gap between the MACD line and the signal line for TOTAL3 is narrowing, potentially signaling a bullish crossover. The Relative Strength Index (RSI) for Total Crypto Market Cap (TOTAL3) is currently at 50.7, indicating a neutral stance. The RSI has bounced from sub-40 levels in recent weeks, suggesting a potential bullish sentiment.
However, not all regions are experiencing positive inflows. While the US dominates crypto inflows, Canada and Brazil show bearish divergence. This geographic leadership shift indicates a growing global acceptance of digital assets as a viable investment option.
In summary, the digital asset market is witnessing a significant boom, driven by institutional adoption, market maturity, and geographic leadership. While Bitcoin remains the dominant player, Ethereum is showing relatively stronger inflow growth as investors diversify within digital assets. The market is poised for potential upswings, with TOTAL3 presenting key Fibonacci retracement levels that could serve as targets for bullish investors.
Digital asset investors are increasingly allocating funds towards technology-driven investments, as witnessed by the $1.04 billion flow into digital assets last week, with a portion of this going towards Ethereum, which has outperformed Bitcoin in recent inflow growth. As the market matures, investment strategies are becoming more diversified, with a growing global acceptance of digital assets as a viable investment option.
