Ethereum (ETH) Investment Products Recorded Inflows of $296.4M Last Week

Digital asset investment products recorded inflows of just $224 million last week. Among crypto investments, Ethereum gathered the highest figure of $296.4 million.

output: Digital asset investment products witnessed minimal capital additions last week, with total inflows slowing to just $224 million.

Despite this deceleration, the crypto market experienced a shift in favor of Ethereum (ETH), as its funds alone absorbed the highest portion of the inflows, reaching $296.4 million. In contrast, Bitcoin (BTC) saw funds exiting its ecosystem, amounting to $56.5 million.

A decline in the overall inflows is being attributed to the ongoing uncertainty surrounding policy decisions. Some investors are adopting a cautious approach as they await the Federal Reserve’s response to inflation and the subsequent implications for interest rates.

Data compiled by CoinShares reveals that despite the broader market uncertainty, Ethereum funds saw seven consecutive weeks of inflows, culminating in a substantial $1.5 billion last week. These inflows represent nearly 10.5% of the firm’s total assets under management (AUM).

However, a seven-week streak of outflows from Bitcoin funds resulted in a net outflow of $56.5 million from the world’s largest cryptocurrency. At the same time, short-bitcoin products encountered outflows for the second consecutive week.

“The slowing demand may be attributed to the ongoing uncertainty around monetary policy, which has led to a cautious approach among Bitcoin investors,” said CoinShares.

Although Bitcoin remains the dominant cryptocurrency, its current performance highlights the significant impact of policy uncertainty on investor preference.

After a period of strong performance earlier in the year, altcoin investments have slowed due to the overall uncertainty in the market. While most of the altcoins saw exits in the past week, investors chose to pour $1.1 million into the fast-growing blockchain, SuiNetwork.

Meanwhile, investors pulled out of XRP funds for the third consecutive week, with a total of $6.6 million flowing out of the token’s ecosystem.