Originally published on: December 02, 2024
Ethereum (ETH) investment funds have achieved a milestone with a record-breaking net inflow of $2.2 billion in 2024, surpassing the previous record set in 2021, according to insights from CoinShares.
This surge in inflows signifies a significant shift in sentiment towards ETH, as highlighted in CoinShares’ recent weekly digital asset fund flows report.
Overall, the cryptocurrency investment landscape witnessed a total of $270 million in net inflows during the week starting November 26, pushing the total annual inflows to a new high of over $37 billion.
The data from CoinShares also shows a notable transition in investor interest from Bitcoin (BTC) to Ethereum during the week of November 26.
While Bitcoin experienced outflows of $457 million, marking its first substantial outflows since September, Ethereum saw inflows of $634 million within the same period.
Felix Hartmann, founder of Hartmann Capital, views this shift from BTC to ETH as a sign of Wall Street’s active participation in the ‘alt rotation.’
Additionally, Ethereum Vibin, a prominent crypto commentator, pointed out that ETH ETF flows have exceeded BTC ETF flows for the first time, indicating a broader market trend.
Interestingly, XRP also made waves in the crypto sphere with inflows of nearly $100 million, setting a new all-time high. This surge is attributed to the excitement surrounding the potential establishment of an exchange-traded fund for XRP.
Furthermore, XRP has climbed the market capitalization ranks, overtaking Solana and positioning itself as the third-largest crypto asset, surpassing Tether (USDT).
As investors anticipate favorable regulatory developments under the new US administration, XRP’s native asset has gained traction, reaching new heights in 2024.
In conclusion, the cryptocurrency market is evolving rapidly, with Ethereum leading the charge in attracting substantial investment inflows, while XRP emerges as a promising contender in the crypto landscape.
To stay informed about the latest market trends and investment opportunities, subscribe to our Markets Outlook newsletter for valuable insights delivered to your inbox every Monday.