Crypto Inflows Hit $1.9B in a Week as Ethereum Leads With $1.59B Surge
The digital asset investment sector had another strong week, with $1.9 billion in inflows according to CoinShares.
Quick overview
- The digital asset investment sector saw $1.9 billion in inflows, marking the 15th consecutive week of positive net inflows despite market volatility.
- July's inflows have reached $11.2 billion, surpassing the previous record of $7.6 billion set in December 2024, indicating growing institutional confidence.
- Ethereum led the inflows with $1.59 billion, driven by anticipation of spot ETF approvals and its applications in decentralized finance.
- Speculation around future ETF approvals is fueling altcoin interest, although experts caution against declaring an altcoin season just yet.
The digital asset investment sector had another strong week, with $1.9 billion in inflows according to CoinShares. This is the 15th week of net positive inflows, despite market volatility.
July’s month-to-date inflows are now $11.2 billion, already beating the previous record of $7.6 billion in December 2024. James Butterfill, CoinShares’ Head of Research, called this “a sign of accelerating institutional conviction” especially given the fluctuating macroeconomic sentiment and regulatory uncertainty.
Regional Breakdown:
- US & Germany: $2 billion
- Brazil, Canada, Hong Kong: $270 million
These numbers reflect the varying levels of confidence and regulatory comfort among institutional investors globally.
Ethereum Leads the Way
Ethereum was the top performer, with $1.59 billion in inflows, its second largest week on record. Year-to-date Ethereum has now seen $7.79 billion, already more than its 2024 total.
The increase comes as the market awaits Ethereum spot ETF approval and the growth of staking based products. Analysts believe institutional interest in Ethereum is driven more and more by its use in decentralized finance and smart contract applications.
Compared to:
While Bitcoin’s outflows are not big, the difference with Ethereum and some altcoins suggests an institutional rotation towards higher growth blockchain ecosystems.
ETF Hopes Drive Altcoin Rally
A major driver of altcoin inflows seems to be the growing speculation around future ETF approvals, especially in the US. Investors are positioning ahead of the regulatory decisions, similar to what we saw before the January 2024 spot Bitcoin ETF approval.
Crypto market participants are waiting for the SEC decisions as potential inflection points, especially for assets like Solana and XRP. But experts, including Butterfill, advise to not read too much into this as an altcoin season just yet.
Bottom Line:
- $1.9B in inflows, 15 weeks of positive
- Ethereum $1.59B
- ETFs driving altcoin selection
Next week will be about regulatory and central bank decisions. Until then, Ethereum and Bitcoin.
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