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Bitcoin and Ethereum Lead Crypto ETP Inflows

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crypto etp inflows bitcoin eth
Key Takeaways:

  • Bitcoin led with $2.9 billion inflows.
  • Ethereum showcased its strongest performance this year.
  • Market interest driven by economic uncertainty.

bitcoin-and-ethereum-lead-crypto-etp-inflows
Bitcoin and Ethereum Lead Crypto ETP Inflows

Institutional investors’ growing appetite for regulated crypto exposure has resulted in record inflows to digital asset exchange-traded products, boosting Bitcoin and Ethereum portfolios.

Crypto ETPs attracted significant investment last week, with inflows of $3.3 billion. Bitcoin dominated the segment, pulling in $2.9 billion, while Ethereum funds added $326 million. This demand reflects increased institutional interest.

James Butterfill, Head of Research at CoinShares, suggests economic uncertainty in the U.S. is encouraging diversification. Reflecting on the period’s significance, assets under management in these ETPs reached a new high of $187.5 billion recently.

“The Moody’s downgrade and rising Treasury yields are pushing investors to diversify into digital assets” – James Butterfill, Head of Research, CoinShares

Bitcoin ETPs captured notable inflows, fueling optimism around digital currencies as store-of-value assets. Ethereum’s significant rise is attributed partly to the successful implementation of its Pectra upgrade earlier this month.

Investments in Ethereum are boosting investor confidence following technical improvements. Meanwhile, short Bitcoin products also saw $12.7 million inflows. Industry observers recognize the substantial institutional shift toward crypto as a key trend in 2025.

Potential outcomes include changes in regulatory attitudes and increased allocations by funds. Market dynamics suggest further institutional interest, given recent policy talks suggesting U.S. sovereign wealth fund investments in Bitcoin.

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