The crypto influx extended the positive flow for several weeks, bringing the monthly date flow to $11.2 billion.
Ethereum (ETH) led the flow, while Altcoins outperformed Bitcoin (BTC), recording a significant outflow.
Ethereum leads crypto influx when Altcoin ETF speculation is built
The latest Coinshares report shows that crypto influx reached $1.98 billion last week, a significant increase from the week ending July 19th, reaching $1.049 billion.
This drop came when Bitcoin beat the trend and recorded a negative tide of $175 million. Meanwhile, Ethereum extended its lead last week with an influx of $1.599.4 billion.
Coinshare research director James Butterfil recorded this in the second-largest week for Ethereum, with (YTD) flows from the start of the year surpassing 2024 total.
“Ethereum led an unusually strong week with an influx of US$1.599 billion last week, marking the second-strongest week. The year-to-date inflow to Ethereum now reaches US$7.799 billion, surpassing last year’s total,” read an excerpt from the report.
Coinshares executives have called on Bitcoin for significant differences from the broader Altcoin trends, seeing Solana and XRP have a strong influx. According to Batterfil, voter turnout points to potential forecasts for ETFs (exchange trade funds) rather than broader Altcoin seasons.
“This has led to the question of whether we’re in the Altcoin season. These Altcoin influx may not be driven much by widespread enthusiasm, and more may be due to the expectations surrounding the potential launch of US ETFs,” the report added.
Meanwhile, Ethereum’s outstanding performance in the crypto influx last week is not surprising. Before its 10th anniversary, Altcoin is experiencing a huge surge in institutional interest.
among them Bit Digital is pursuing a billion-dollar pivot into the digital assets of Ethereum and BlackRock heads. Ethereum Treasury Company Sharplink Game.
Ethereum becomes an institutional favorite as market rotation accelerates
Additionally, BlackRock’s Ethereum ETF inflow surpassed the Bitcoin Fund (IBIT) last week.
In a statement to Beincrypto, Andreas Brekken, CEO and founder of Sideshift.ai, attributed Ethereum’s performance to institutional beliefs that arrived.
Similarly, MEXC’s research chief analyst Sean Young highlights Ethereum’s accelerated momentum as he approaches the $4,000 mark. Like Brekken, Young cites strong institutional demand and favorable macro backgrounds.
With over $5 billion inflows into the US ETH ETF over 16 days of consecutive 16-days, Young points out that Ethereum is considered a cornerstone of financial infrastructure on the chain.
“This growth reflects an increase in convictions for Ethereum’s usefulness, sustainability and long-term stay capabilities, particularly with its use in tokenization, stability and settlements,” Young said in a statement shared with Beincrypto.
He highlights the resilience of ETH in recent market declines, increased advantages in crypto market capitalization, and its leadership role in the rotation of emerging capital from Bitcoin to altcoin.
Technically, Ethereum holds a major level of support, while showing relative strength. According to analysts, the improvement in depth across Altcoins indicates a broader shift in market sentiment.
Based on this, Young points out the possibility of a breakout to $4,500 if future GDP and FOMC data cause risk-on rally. However, analysts also warn that a macro slump could lead to a $3,300 draw.
“Softer inflation data or a ridiculous language from the Fed could reinforce the view that rate hiking cycles are nearing its end and could cause a broader risk-on-shift across the market.
At the time of writing, Ethereum had traded at $3,886 up 3% over the last 24 hours.
Nevertheless, Ethereum is well positioned to lead the next leg of the crypto market, as ETF adoption accelerates and accounts for an increase in institutional portfolio share.
Disclaimer
In compliance with Trust Project guidelines, Beincrypto is committed to reporting without bias and transparent. This news article is intended to provide accurate and timely information. However, we recommend that readers independently verify the facts and consult with experts before making decisions based on this content. Please note that our terms and conditions, privacy policy and disclaimer have been updated.
