A leading digital assets manager says institutional investors are becoming more optimistic about Ethereum (ETH) after a long streak of capital outflows.
In the latest Digital Asset Fund Flows Weekly report, CoinShares finds Ethereum digital asset investment products have seen three consecutive weeks of inflows, breaking an 11-week run of outflows.
CoinShares refers to the major Ethereum upgrade to a proof-of-stake blockchain expected to occur next month.
“Ethereum saw inflows for the third consecutive week totaling $7.6 million. The inflows suggest a modest turn-around in sentiment having endured 11 consecutive weeks of outflows that brought 2022 outflows to a peak of $460 million.
This improvement in sentiment may be due to the increasing probability of the Merge, where Ethereum moves from proof-of-work to proof-of-stake, happening later this year.”
While Ethereum enjoyed inflows, Bitcoin (BTC) institutional investment products suffered a rare week of outflows, losing $1.7 million, while short-Bitcoin products, or instruments allowing investors to short BTC, saw inflows.
“Bitcoin saw minor outflows totaling $1.7 million while inflows into short-Bitcoin totaled $6.3 million last week.”
Multi-asset investment products, those investing in multiple altcoins, led altcoin products with $2.2 million of inflows last week.
“Multi-asset investment products saw minor inflows totaling $2.2 million, while the broader altcoin market has remained remarkably inactive this month so far with minor outflows totaling $0.3 million.”
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