ethereum and Solana saw net inflows last week despite a price correction among most cryptocurrencies. According to the latest According to the weekly digital asset fund flow report published by CoinShares, cumulative inflows into these investment products reached an impressive $176 million during the week. This positive trend was consistent across all regions, with each of them recording positive inflows, indicating widespread interest from investors globally.
Surprisingly and deviating from what crypto/investors-1-44-billion-into-crypto/” rel=”nofollow noopener” target=”_blank”>bitcoin Dominanceand trend,ethereum/ethereum-targets-3000-after-market-shakeout-cryptoquant-sees-impulsive-bull-run-ahead/” rel=”nofollow noopener” target=”_blank”> ethereum-based investment The products attracted the most entries during the week.
Institutional investors focus on ethereum and Solana
Despite fluctuations in market value, investor interest in digital assets remained strong, reflecting institutional investors' continued confidence in the long-term potential of cryptocurrencies. According to CoinShares, the bitcoin-news/crypto-liquidations-1-billion-bitcoin-crashes-52000/” rel=”nofollow noopener” target=”_blank”>Cryptocurrency market correction Total assets under management for investment products had increased from $95 billion to $75 billion. However, investment products have recovered somewhat due to continued inflows, which have helped bring total assets under management back to $85 billion.
Interestingly, last week’s activity was higher than usual. Trading volume in exchange-traded products (ETPs) reached $19 billion last week, which is higher than the weekly average of $14 billion this year so far. What was especially noteworthy about this trend was the shift in investor preference, as ethereum-based investment products emerged as the main beneficiaries of these inflows. This marks a departure from bitcoin’s traditional dominance in the market, where bitcoin-related products typically attract the majority of investments.
Notably, ethereum-based investment products attracted $155 million worth of inflows last week, accounting for 88% of total inflows. As such, ethereum ETP inflows so far this year have soared to a multi-year peak of $862 million, which is the highest since the 2021 bull market.
On the other hand, bitcoin managed to attract only $13 million in inflows. Multi-asset investment products came in second with $18.3 million in inflows. Solana-based products also managed to attract $4.5 million in inflows despite the cryptocurrency. falling below $115 early last week.
The bullish mood was also reflected in Short-bitcoin products. The data revealed that Short-bitcoin ETPs recorded their largest outflow since May 2023, with a total of $16 million withdrawn from these products. This outflow represents 23% of the total assets under management of Short-bitcoin ETPs.
In terms of geographic location, all regions recorded capital inflows last week. The United States ranked first with $89 million in inflows. Interestingly, the United States is the only region still recording a negative flow so far this month. Switzerland, Brazil and Canada recorded inflows of $21.3 million, $19.9 million and $19.2 million respectively.
What's next?
This change bitcoin-news/btcs-next-objective-analyst-eyes-crucial-70000-resistance-zone-for-bitcoin/” rel=”nofollow noopener” target=”_blank”>Away from bearish strategiesreflected in short-term bitcoin ETP outflows, aligns with the broader trend of renewed confidence in digital assets. The market now appears to be bitcoin-news/is-now-the-time-to-buy-bitcoin-top-analysts-predict-150k-surge-on-the-horizon/” rel=”nofollow noopener” target=”_blank”>Finally recovering Due to corrections, most of the large-cap cryptocurrencies have started to record gains in the last 24 hours.
Featured image created with Dall.E, chart from Tradingview.com
