CoinShares’ Latest Report
Crypto investors are feeling bullish again, according to Coinshares. The asset manager reported on Monday that Bitcoin Exchange-Traded Funds (ETFs) have processed $418 million in net inflows since last Thursday. The firm said the inflows were growing because the latest polls suggest that Donald Trump’s journey to the White House seems likely.
CoinShares now believes investors have shifted their focus from economic data to US presidential elections. Trump, who is flying the Republican flag in the presidential race, brands himself as a cryptocurrency-friendly candidate. This explains why inflows in ETFs have jumped in the past few days following a noticeable improvement in his winning odds.
CoinShares Says Investors Are no Longer Focused on Economic Data
In support of its argument, CoinShares points to stronger-than-expected economic data released a few weeks ago. According to the asset manager, the data had little impact on ETFs’ performance. However, these assets performed poorly when Democratic candidate Kamala Harris appeared to have outshone Trump in the recent presidential election.
Unlike Trump, Kamala has not been vocal about cryptocurrencies since the start of her campaign, prompting many crypto enthusiasts to believe that she might continue to implement the current harsh regulations that have forced several blockchain companies out of the United States.
Bitcoin and Other Top Crypto Assets Record Gains
The inflows in ETFs have had a significant impact on Bitcoin’s price. According to data from CoinGecko, the largest coin by market cap is changing hands for $65,497, up 1.8% today. It touched $66,000 on Monday afternoon for the first time in October.
Most of the leading cryptocurrencies have mirrored Bitcoin’s performance in the past 24 hours. For instance, Ethereum is up 3.2% to $2,619, Solana has surged 1.4% to $154.34, BNB trades at $585 following a 1.2% rally, and Dogecoin is priced at $0.1156 with 24-hour gains of 2.7%.
Meanwhile, CoinShares has noted massive outflows from short Bitcoin investment products (funds that let traders bet on Bitcoin’s value to go down) in the past three days, suggesting that short traders are no longer bearish. If bullish momentum is sustained, analysts see Bitcoin trading above $70,000 before the month ends.
