Cryptocurrency funds recorded inflows for the second consecutive week, attracting $716.6 million as investor sentiment stabilizes and improves.
New funds increased total assets under management (AuM) to $180 billion, rebounding 7.9% from November's low. However, this remains significantly low compared to the all-time high of $264 billion.
Cryptocurrency inflow of $716 million…Market sentiment on the rise
According to weekly inflow data, cryptocurrency inflows occurred broadly in major regions, indicating renewed global participation. The U.S. led with $483 million, followed by Germany with $96.9 million and Canada with $80.7 million.
This emphasizes that institutional interest across North America and Europe is returning.
Bitcoin emerged once again as a major beneficiary with a weekly inflow amounting to $352 million. This means that Bitcoin's year-to-date inflow has reached $20.071 billion. Although still falling short of the $400.16 billion expected for 2024, it is showing new momentum after months of hesitation.
At the same time, short Bitcoin products saw an outflow of $18.7 million, the largest since March 2025.
Historically, similar outflows have coincided with price lows, suggesting a reduction in short positions.
However, daily data shows that small outflows occurred on Thursday and Friday, which analysts report is due to ongoing inflationary pressures indicated by new U.S. macroeconomic data.
“Daily data highlighted small outflows that occurred on Thursday and Friday. This seems to reflect ongoing inflationary pressures in the U.S. macroeconomic data.” – James Butterfill of CoinShares
This brief pause indicates that sentiment is improving but remains sensitive to interest rate expectations and signals from the Fed.
Increasing demand for XRP and Chainlink
In addition to Bitcoin, XRP continued a strong multi-month flow, recording a weekly inflow of $245 million. This means that XRP's year-to-date inflow has reached $3.1 billion, significantly exceeding the total of $608 million expected for 2024.
Sustained demand reflects optimistic expectations for XRP's institutional use cases and regulatory positions in key jurisdictions.
Chainlink recorded a weekly inflow of $52.8 million, showcasing one of the highest weekly records.
Notably, this figure now accounts for over 54% of Chainlink's total ETP AuM, emphasizing that capital is rapidly moving toward oracle and infrastructure-focused cryptocurrency assets.
Psychological shift following November's surge
The recent influx trend occurred ahead of a stronger period at the end of November. The week ending November 29 saw cryptocurrency funds record a strong inflow of $1.07 billion, primarily driven by anticipated increases in interest rate cuts in 2026.
Combining the surge at the end of November with the current follow-up inflow of $716 million suggests that institutional sentiment is gradually and consistently changing. However, concerns about inflation remain unresolved.
Overall AuM remains low from peak levels, but the return of capital to Bitcoin, XRP, and Chainlink is building confidence that the worst of the recent risk-off cycle has ended.
