Bitcoin and crypto ETPs continue their impressive performance just a week into the new year. According to a CoinShares report filed by James Butterfill, crypto ETPs saw massive $585 million inflows in the first few days of the year. Analysts say this early strong performance of the crypto ETPs continues the impressive run of the assets from last year.
In the same CoinShares report, crypto ETPs achieved over $44 billion outflows in 2024, with Bitcoin as the most-traded digital asset. Bitcoin saw $38 billion in inflows, representing nearly 30% of all Assets in Management (AUM), while Ethereum picked up pace in the latter half of the year, with net inflows of more than $4.8 billion.
Bitcoin ETPs Lead The Pack
CoinShare’s James Butterfill shared these findings on the performance of crypto ETPs on the company’s official site and social media pages. The report explained that Bitcoin ETPs were the preferred digital investment product, cornering $38 billion of all Bitcoin AUMs of global ETPs.
2024 saw US$44bn inflows in to crypto ETPs, 2025 off to a good start with US$585m inflows so farhttps://t.co/OczGDBUdph
— James Butterfill (@jbutterfill) January 6, 2025
Ethereum ETPs ranked second, receiving roughly $4.8 billion in inflows in 2024, representing 26% of all ETH AUMs of global ETPs. The ETP’s inflows this past year are 2.4 times bigger than what was recorded in 2021 and 60 times bigger than in 2023.
Ethereum beats Solana regarding inflows in 2024, with just $69 million, representing only 4% of all assets under management. While Solana’s numbers are small relative to Bitcoin and Ethereum, it still leads all other altcoins.
Approval Of Spot ETFs Helps Increase Inflows
The industry saw record-breaking inflows in 2024, which is better than what the bull market experienced in 2021. In 2021, cryptocurrency investment products recorded more than $10 billion in net inflows. In short, last year’s inflows were 4x bigger than the recorded amount in 2021.
According to Bufferfill, the surge in global crypto investment products benefited from the US’ approval of spot ETFs for Bitcoin in January 2024. In January 2024, the US Securities and Exchange Commission approved 11 applications for spot Bitcoin ETFs, which were followed by eight spot ETFs for Ether on May 22nd.
According to recent data, these spot Bitcoin ETFs are the main reasons for the inflows in Bitcoin-related investments. Butterfill also explained that these ETFs will redefine the inflows for crypto investments in the future.
Better Days Ahead For US Bitcoin Spot ETPs
Aside from CoinShares, Galaxy Digital also offered a rosy picture of the future of the crypto investments industry. In a report shared last December 31st, 2024, the company boldly predicted that the US spot ETPs market will continue to soar in 2025. The report indicated that this niche will reach $250 billion in AUMs this year.
Meanwhile, Alex Thorne of Firmwide Research said Bitcoin ETPs are closing in on US gold ETPs in total value of assets under management.
Thorne added that Bitcoin will continue to become one of the top-performing assets on its risk-adjusted basis. Other analysts shared that Ether’s spot ETPs will also surge this year. The Ethereum blockchain will benefit from a Trump presidency and favorable regulatory changes.
Featured image from OneSafe, chart from TradingView
