Bitcoin inflows hit $543 million last week amid hint of interest rate cut: CoinShares

Bitcoin experienced $543 million in inflows last week after favorable comments from Fed Chair Jerome Powell, according to CoinShares.

"The majority of those inflows were on Friday, following the dovish comments" from Powell, CoinShares said in its latest report. At the end of last week, Powell expressed confidence that U.S. inflation could return to 2% while indicating the central bank may lower interest rates.

Powell's comments appeared to push bitcoin's price higher immediately. Bitcoin has since climbed from below $61,000 to about $63,500, according to The Block Price Page. Thanks to the increased confidence in bitcoin, inflows for the month of August now sit at $225 million, according to CoinShares. 

The Fed Chair's comments also appear to have benefitted crypto investment products, according to the CoinShares report. "Last week, digital asset investment products saw inflows totaling $533 million, marking the largest inflows in five weeks," the report also said. The crypto-based ETFs offered by BlackRock led the way with a total of $346 million in inflows, said CoinShares.

The U.S. led the charge for inflows into digital asset investment products with $498 million, while Hong Kong and Switzerland rounded out the top three nations with $16 million and $14 million, respectively.

Roughly a month since the newly created Ethereum-based ETFs launched, the products have brought in $3.1 billion in cumulative inflows, according to the report. That has been offset by Grayscale's ether-based product shedding $2.5 billion, said CoinShares.