- Bitcoin (BTC) price struggles to hold above $68,000 while institutional crypto funds see three consecutive weeks of inflows.
- Data shared by Coinshares indicates a further $1.05 billion inflow into institutional crypto funds following the previous $932 million inflow two weeks ago.
- The high institutional interest in Bitcoin peaked after the approval of the Spot Bitcoin ETF. Last week, Grayscale funds closed with a minor deficit, but interest in other ETF issuers remained high.
Bitcoin’s institutional inflows led with $1.012 billion as seen in recent weeks.
Additionally, following the approval of the spot Ethereum ETF during the week, Ethereum (ETH) saw an influx of $35.5 million in funds.
Intense Demand for Altcoins
While institutional investors entered Ethereum, other altcoins like Solana (SOL), Chainlink (LINK), Ripple (XRP), and Litecoin (LTC) also witnessed significant demand.
Solana received $8 million, Chainlink $600 thousand, Ripple $400 thousand, and Litecoin $2.8 million in fund inflows.
According to the Coinshares report, U.S. investors led the inflows, while investors from Hong Kong led the outflows, primarily driven by the activities of spot Bitcoin ETF issuers.
Conclusion:
The sustained inflows into institutional crypto funds, particularly in Bitcoin, reflect the growing confidence and interest of major investors in the crypto market. With the approval of additional ETFs and the diversification into altcoins, the market shows signs of maturing and expanding beyond Bitcoin. The future outlook remains positive, with continued institutional participation expected to drive further growth and stability in the crypto space.
