What UAE investors can learn from latest $1.9b inflow
Dubai: Global crypto investment funds continued their winning streak for the ninth straight week, drawing $1.9 billion in new inflows, according to CoinShares’ latest report. This marks the highest year-to-date total ever for digital asset funds — $13.2 billion so far in 2024.
For UAE-based crypto investors, this signals growing institutional confidence, especially in Bitcoin and Ethereum, even as geopolitical tensions — particularly in the Middle East — remain unresolved.
Bitcoin is back in favour
After two weeks of small outflows, Bitcoin roared back with $1.3 billion in new investments. Despite the Israel-Iran conflict still creating market uncertainty, investors appear to be looking at Bitcoin as a safe-haven asset, similar to how gold is used during times of crisis.
There was also a small inflow into short Bitcoin products — tools used by traders who bet on falling prices — but the overall market sentiment still clearly favoured long-term Bitcoin holding.
Ethereum sees strong week
Ethereum-related funds saw $583 million in inflows last week — the highest weekly inflow in four months. So far this year, Ethereum investment products have attracted $2 billion, making up 14% of all assets under management (AuM).
However, interest in Ethereum spot ETFs in the US showed some signs of cooling, with a minor outflow of $2.1 million recorded on June 13, breaking a 19-day streak of gains.
What about other altcoins?
It’s not just Bitcoin and Ethereum in the spotlight:
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XRP funds recorded $11.8 million in inflows, ending a 3-week losing run
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Sui, a newer altcoin, continued its rise with $3.5 million in investments
These figures show that investors are exploring broader crypto exposure, not just focusing on the top two coins.
Western investors lead the charge
Despite unrest in parts of the Middle East, the US accounted for the entire $1.9 billion inflow last week. Other Western nations also saw positive activity:
Meanwhile, Hong Kong led outflows with $56.8 million exiting funds, followed by Sweden ($16.7m) and Brazil ($8.5m) — indicating a possible regional shift in sentiment.
What this means for UAE crypto investors
For retail and institutional investors in the UAE, this global momentum may offer several takeaways:
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Bitcoin and Ethereum remain strong bets amid uncertain global conditions
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Institutional inflows suggest long-term conviction, despite near-term volatility
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Watching Western investor trends can help anticipate what might happen in emerging markets
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Diversifying into select altcoins may offer growth opportunities beyond the top names
With global crypto sentiment improving, UAE-based investors — many of whom are already exposed to regulated crypto platforms and services — may find this an opportune time to review or rebalance their portfolios.
Justin is a personal finance author and seasoned business journalist with over a decade of experience. He makes it his mission to break down complex financial topics and make them clear, relatable, and relevant—helping everyday readers navigate today’s economy with confidence.
Before returning to his Middle Eastern roots, where he was born and raised, Justin worked as a Business Correspondent at Reuters, reporting on equities and economic trends across both the Middle East and Asia-Pacific regions.