Crypto ETF inflows climb to $11 billion in 7 weeks with Ethereum leading amid US policy uncertainty
Digital asset investment products attracted $224 million in inflows last week, extending a seven-week streak that now totals $11 billion, according to CoinShares‘ latest weekly report.
However, James Butterfill, CoinShares’ head of research, noted that the pace of inflows into these products continues to slow.
Butterfill pointed to rising uncertainty over US monetary policy as a key factor driving this trend. He noted that investors are cautious while awaiting further signals from the Federal Reserve on inflation and potential interest rate changes.
According to him:
“There has been a noticeable deceleration amid uncertainty over monetary policy, with investors adopting a wait-and-see stance ahead of further signals from the US Federal Reserve on inflation.”
Ethereum draws $1.5 billion in 7 weeks
According to the CoinShares report, Ethereum-related investment products led the market for the second consecutive week, drawing in $295.4 million in fresh capital.
This marks its seventh week of gains, with inflows reaching $1.5 billion. These inflows represent about 10.5% of all Ethereum assets under management.
Butterfill noted that this is Ethereum’s strongest run since last November’s US election period. It also signals a significant rebound in investor confidence after prior weeks of outflows linked to price stagnation.
Bitcoin, XRP see consecutive weeks of outflows
In contrast, Bitcoin recorded a second consecutive week of outflows, with $56 million withdrawn. This brings the total outflows in BTC-related products to around $57 million this month.
Notably, Short Bitcoin products also saw a second week of outflows, totaling $4.1 million. This year,
CoinShares attributed this trend to the same policy uncertainty weighing on overall market sentiment.
Meanwhile, major altcoins experienced mixed performance last week, with Sui and Chainlink being the major exceptions.
Sui recorded $1.1 million in inflows, pushing its total flows to $100 million this year. At the same time, Chainlink attracted a modest $200,000 investment during the period.
On the other hand, XRP marked its third week of outflows, losing $6.6 million. Still, the digital asset remains the third-most favored crypto product among institutional investors who have poured $179 million into the asset this year.