Investors Pour Money Into Crypto Investments for 4th Straight Month
Assets under management for digital-asset products climbed to $13.4 billion in March, up 60% from their 2022 low in November, according to CryptoCompare.
The amount invested in digital-asset products climbed for a fourth straight month in March as cryptocurrency prices continued to soar, according to data from CryptoCompare.
Assets under management increased to $13.4 billion, up 10.9% from February and up 60% from November, when the total sank to its lowest level of 2022 amid crypto exchange FTX’s collapse.
Investments in bitcoin-based products rose 14% to $22.7 billion, while ether-related ones increased 6.25% to $7.22 billion. Bitcoin’s (BTC) share of overall investment hit 72%, reaching a nine-month high in mid-March. Crypto-related products labeled “other” saw assets decrease 13.3% to $1 billion, taking their market share down to 3.2%.
“The increase in bitcoin market share was consistent with the surge in bitcoin dominance and the shift away from altcoins that investors have been making in response to the recent market turbulence,” the report stated.
CI Galaxy, a firm that manages funds that invest in cryptocurrencies, recorded the highest increase in assets for the second consecutive month, rising 20.3% to $553 million, followed by ProShares, which saw a 19.1% increase to $1.08 billion.
Grayscale Investments remained the dominant player, recording a total of $23.6 billion, a 13.2% increase compared to February. Grayscale is owned by CoinDesk’s parent company, Digital Currency Group.
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