Ethereum captures 77% of $3.75 billion inflows while Bitcoin trails behind

US market dominance and Ethereum's impressive gains highlight the evolving crypto investment landscape.

Cover art/illustration via CryptoSlate. Image includes combined content which may include AI-generated content.

Digital asset investment products pulled in $3.75 billion in net inflows last week, marking one of the largest weekly gains in history, according to CoinShares latest weekly report.

The renewed appetite follows several weeks of tepid market sentiment and coincides with a recent crypto price rally. Notably, these inflows lifted total assets under management (AuM) to a fresh record of $244 billion.

Ethereum outpaces Bitcoin

Ethereum emerged as the clear leader in the market, drawing $2.87 billion in inflows, about 77% of the weekly total.

James Butterfill, CoinShares’ Head of Research, noted that most of last week’s inflows concentrated in BlackRock’s iShares Ethereum fund (ETHA), which accounted for over $2.3 billion of the fresh capital in the funds.

ETHA is the largest spot Ethereum ETF and manages over $10 billion in assets, according to SoSo Value data.

The BlackRock fund’s record performance has contributed significantly to ETH-focused funds’ accumulation of a record $11 billion in new capital this year.

Conversely, Bitcoin-focused funds have repeatedly seen smaller flows in recent weeks, highlighting the shift in investor interest toward Ethereum.

This was unchanged last week when the BTC-focused funds registered $522 million in new capital.

Notably, CoinShares highlighted that Ethereum’s YTD inflows now represent 29% of its AuM, far outpacing Bitcoin’s 11.6%. Despite this, Bitcoin remains the largest asset in terms of AuM, standing at $180.7 billion compared to Ethereum’s $37.7 billion.

Meanwhile, short Bitcoin products saw $4 million in inflows as prices dipped below $120,000, triggering significant losses for leveraged long traders.

Outside of the top two major cryptocurrencies, XRP and Solana continue to remain the top altcoin pick for institutional investors.

Last week, funds focused on these digital assets registered over $300 million in combined fresh capital. This brings their year-to-date flows to over $2 billion, and their funds also manage more than $5 billion in assets.

Regionally, the United States accounted for nearly all of the inflows, contributing $3.73 billion, around 99% of the total. Other markets recorded smaller gains, including Canada with $33.7 million, Hong Kong with $20.9 million, and Australia with $12.1 million.

However, these gains were partially offset by outflows from Sweden and Brazil, which saw $49.9 million and $10.6 million withdrawn, respectively.

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