Ethereum

Cryptocurrency Exchange-Traded Products See $3.75B Weekly Inflows as ETH Nears ATH

9 hours ago
Bitcoin Ethereum News

TLDR

  • Crypto investment products saw $3.75 billion in inflows last week, primarily driven by Ether ETPs
  • Ether ETPs attracted $2.9 billion, while Bitcoin ETPs received only $552 million despite BTC hitting $124,000
  • Last week was the highest trading volume week ever for spot crypto ETFs
  • Ether ETFs reached approximately $17 billion in weekly trading volume
  • Recent ETF inflow streaks have been shorter but more intense than previous runs

Cryptocurrency investment products experienced another week of strong inflows last week, with a total of $3.75 billion entering the market according to a Monday report from European crypto asset manager CoinShares.

The majority of these inflows were directed toward Ether exchange-traded products (ETPs), highlighting growing investor interest in the second-largest cryptocurrency.

Ether was the clear winner last week, attracting $2.9 billion in inflows. This represents about 77% of the total weekly inflows into crypto investment products.

This massive influx of capital came as ETH prices approached all-time high levels above $4,700 on Thursday, based on data from CoinGecko.

The strong performance of Ether ETPs is even more striking when compared to Bitcoin. Despite BTC reaching a new all-time high above $124,000 on Wednesday, Bitcoin ETPs saw relatively modest inflows of $552 million, accounting for only about 15% of total weekly inflows.

Other cryptocurrencies also saw varied investor interest. Solana (SOL) and XRP attracted inflows of $176.5 million and $125.9 million respectively. Meanwhile, Litecoin (LTC) and Toncoin (TON) experienced minor outflows of $0.4 million and $1 million.

Record-Breaking Trading Volumes

Bloomberg ETF analyst Eric Balchunas reported that last week marked the highest trading volume week ever for spot crypto exchange-traded funds (ETFs).

After just four trading days, spot Bitcoin and Ether ETFs reached a combined $40 billion in trading volume. Balchunas noted that this record was “largely driven by Ether ETFs stepping up big.”

Ether ETFs alone generated approximately $17 billion in weekly trading volume, which Balchunas described as “ETHSANITY” on his X (formerly Twitter) account.

NovaDius president Nate Geraci also highlighted these trading volume records, noting that spot Ether ETFs had “absolutely obliterated” the previous weekly trading volume record. He pointedly asked if there were “any ‘no demand’ naysayers still out there.”

Changing Patterns in ETF Inflows

An interesting trend has emerged in the pattern of ETF inflows. According to data from SoSoValue, the streaks of consecutive inflows for crypto funds have been getting shorter but more intense.

Spot Ether ETFs have attracted a total of $3.7 billion during an eight-day inflow streak that began on August 5.

In comparison, Bitcoin ETFs saw a shorter inflow streak that lasted only seven days, generating about $1.3 billion.

These shorter streaks contrast with previous patterns, such as the 20-day streak for Ether in July and a 15-day inflow run for Bitcoin ETPs in June.

However, investor sentiment showed signs of cooling by the end of the week. After four days of strong inflows, both Bitcoin and Ether funds experienced outflows on Friday, according to SoSoValue data.

The current inflow patterns suggest a more volatile but potentially more concentrated interest from investors, who appear to be making larger bets over shorter periods.

The recent price action and ETF inflows highlight the growing institutional interest in Ether, even as Bitcoin continues to reach new price milestones.

Ether was trading at around $4,277 at the time of reporting, while Bitcoin was valued at approximately $115,058.

The post Cryptocurrency Exchange-Traded Products See $3.75B Weekly Inflows as ETH Nears ATH appeared first on Blockonomi.

Source: https://blockonomi.com/cryptocurrency-exchange-traded-products-see-3-75b-weekly-inflows-as-eth-nears-ath/