Thomas Daniels
CoinShares has reported a significant influx of $3.2 billion into digital asset investment products over the last three weeks, reflecting strong bullish sentiment among crypto investors.
The continuous three-week streak of positive inflows saw $1.35 billion channeled into these products just last week. The majority of the capital was directed towards exchange-traded funds (ETFs), with crypto-backed funds experiencing a 45% week-on-week increase in volume.
Bitcoin (BTC) products, particularly in the U.S., dominated the market, absorbing $1.24 billion between July 15 and July 19. Spot Bitcoin ETFs on Wall Street recorded net inflows for 11 consecutive days leading up to last week’s surge. Major issuers like BlackRock and Grayscale, holding over $60 billion in assets, have garnered $17 billion in cumulative net inflows since January, according to data provider SoSoValue.
Ethereum Gains Momentum Among Crypto Investors
Ethereum (ETH) has surpassed Solana (SOL) in terms of year-to-date (YTD) inflows. Last week’s $45 million influx brought ETH products’ total to $103 million YTD, compared to SOL’s $71 million.
The rising demand for Ethereum-based products coincides with expectations that the U.S. Securities and Exchange Commission (SEC) will approve spot ETH ETFs this week. The NYSE Arca has already confirmed its acceptance to list and trade spot Ethereum ETF shares from Bitwise and Grayscale, ahead of the SEC’s final decision.
Ethereum is anticipated to follow Bitcoin as the next cryptocurrency to be wrapped in an institutional ETF, a move expected to pave the way for more digital asset ETFs. Issuers like VanEck are already preparing to file for a spot Solana ETF.
Although the SOL ETF filings have not yet included staking provisions—similar to the exclusion in spot Ether ETF applications—SEC commissioner Hester Peirce indicated the agency might consider allowing staking in crypto ETFs.
Nate Geraci, president of ETFStore, also projected the likely introduction of combined ETFs featuring Bitcoin, Ethereum, and Solana soon.
