Crypto ETPs See Strong Investment as Bitcoin Dominates and Ethereum Rises
The crypto market may not be moving much in price, but investor interest isn’t slowing down. Even as things stay relatively calm, funds continue to pour into digital assets—especially Bitcoin. Last week alone, $1.04 billion flowed into crypto exchange-traded products (ETPs), with Bitcoin taking the lead. This marks twelve straight weeks of positive inflows, showing that confidence in the broader market remains strong.
In Brief
- $1.04B flowed into crypto ETPs last week, marking 12 weeks of continuous positive inflows.
- Bitcoin led with $790M in ETP inflows, holding 76% of total crypto ETP inflows last week.
- Total assets under management in crypto investment products hit a record $188 billion last week.
- Ethereum ETPs gained $226M, marking 11 straight weeks of inflows and growing investor interest.
Bitcoin Dominates Inflows, but Momentum Slows
Bitcoin brought in the majority of last week’s investment, with $790 million added to its exchange-traded products . Although this is a healthy number, it’s down from the previous three weeks, which saw average weekly inflows of $1.5 billion. Still, Bitcoin held a solid 76% of the total market inflow last week.
James Butterfill, head of research at CoinShares, believes the slowdown could mean that investors are becoming a bit more cautious . With Bitcoin hovering close to its record highs, some traders may be pausing to reassess before making bigger moves.
Ethereum Sees Rising Demand from Institutions
While Bitcoin continues to lead in inflows, Ethereum is also seeing consistent interest. Its exchange-traded products recorded $226 million in inflows last week, marking the eleventh week in a row of positive movement.
Over that period, total inflows into Ethereum ETPs have reached $2.85 billion, showing that investor focus is expanding beyond Bitcoin
Ethereum’s inflows are rising faster relative to its fund size compared to Bitcoin. Weekly inflows now make up 1.6% of Ethereum’s assets under management—twice Bitcoin’s rate of 0.8%. That shift points to a growing interest in Ethereum’s potential and the wider role it may play in the crypto space.
Ethereum spot ETFs are showing similar strength. Glassnode reported that these ETFs have seen eight consecutive weeks of net inflows, with more than 61,000 ETH added over that period.
Institutional Moves and Global Activity
The wider digital asset market also showed strength last week. Total assets under management in crypto investment products reached a new record of $188 billion. This milestone was supported by both market price increases and consistent capital inflows.
Trading volume remained healthy, with $16.3 billion recorded in volume last week. That’s in line with the average for the year so far. The United States led the charge with $1 billion in inflows, despite markets being closed on Friday for Independence Day.
Germany and Switzerland also showed growth, bringing in $38.5 million and $33.7 million respectively. On the other hand, Canada and Brazil recorded outflows of $29.3 million and $9.7 million, showing mixed investor sentiment across regions.
Institutional interest continues to grow. BlackRock’s crypto funds alone pulled in $436 million last week. That’s 42% of all inflows from fund issuers, showing just how much weight big players carry in today’s market.
Bitcoin Holds Key Level Amid Falling Volume; Ethereum Pulls Ahead in Returns
Bitcoin’s price remains firm above a key level, sparking optimism despite lower trading volumes. Meanwhile, Ethereum is pulling ahead with stronger returns this quarter, signalling a shift in momentum.
Here’s a quick look at the key points behind the numbers:
- Bitcoin remains above its trendline, signalling continued bullish strength ahead of a potential breakout.
- Meanwhile, spot trading volume for Bitcoin falls to $5.02 billion, its lowest in 12 months, per Glassnode data.
- Futures volume also drops to $31.2 billion, showing weakening activity despite rising prices.
- In Q3 so far, Ethereum is up more than 3%, while Bitcoin lags behind with just over 1% in gains.
- Grayscale-linked wallet deposited 2,070 ETH ($5.27M) to Coinbase Prime, indicating strong institutional activity.
- This performance gap may signal a growing shift in institutional focus toward Ethereum.
Interest appears to be gradually shifting toward Ethereum, even though Bitcoin still maintains its dominance. If Ethereum’s inflows keep growing, a significant upswing could be on the horizon, potentially boosting other altcoins as well.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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