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February 13, 2024

Ethereum and Cardano Lead Institutional Altcoin Inflows As $1,100,000,000 Hits Crypto ETPs: CoinShares

By Daily Hodl Staff

Digital assets manager CoinShares says institutions poured $1.1 billion into crypto investment products one month after the U.S. Securities and Exchange Commission (SEC) approved spot BTC exchange-traded funds (ETFs).

In its latest Digital Asset Fund Flows report, CoinShares finds that crypto investment products saw over a billion dollars in inflows last week and show no signs of slowing.

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“Digital asset investment products saw large inflows totaling $1.1 billion, bringing year-to-date inflows to $2.7 billion. Coupled with recent price rises, total assets under management (AuM) is at the highest level since early 2022 at $59 billion.”

Source: CoinShares

According to CoinShares, most of the inflows were focused on BTC ETFs, which have reached almost $3 billion in the last month. The firm says Bitcoin’s price appreciation “buoyed sentiment” for Ethereum (ETH) and Cardano (ADA), which both saw more inflows than the rest of the altcoin market.

“Regionally, the focus remained on the newly issued spot-based Bitcoin ETFs in the US, which saw a net $1.1 billion inflows last week, bringing inflows since the January 11th launch to $2.8 billion. The outflows from incumbents have slowed significantly, but the potential sale of the Genesis holdings of $1.6 billion could prompt further outflows in the coming months… 

Bitcoin saw almost 98% of the inflows, while the price appreciation also buoyed sentiment for Ethereum and Cardano.”

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BTC, per usual, saw the lion’s share of inflows, taking in 98% of last week’s inflows at $1.09 billion. Ethereum (ETH), Cardano (ADA), Avalanche (AVAX), Polygon (MATIC), and Tron (TRX) each saw inflows of $16 million, $6 million, $0.5 million, $0.4 million, and $0.4 million, respectively.

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