The crypto market is showing signs of life again, with investors pouring money back in. Last week alone, digital asset investment products saw a whopping $176 million in inflows, according to CoinShares.
Ethereum Takes the Spotlight
Ethereum is the clear winner, attracting a massive $155 million of that total. This is the highest inflow for Ethereum-based funds so far this year, even surpassing 2021 levels.
The recent launch of spot Ethereum exchange-traded funds (ETFs) in the US is a big reason for this surge. These ETFs make it easier for investors to get exposure to Ethereum, and their success has boosted both Ethereum’s market cap and the overall interest in the asset.
Bitcoin Still Holding Strong
Bitcoin also saw positive inflows last week, though not as strong as Ethereum. While it experienced some outflows earlier in the week, it ended up with a net inflow of around $13 million.
Interestingly, investors are pulling out of short Bitcoin positions, indicating a growing belief that Bitcoin will continue to rise.
Global Optimism
The positive inflows are not just happening in one place. Investors from the US, Switzerland, Brazil, and Canada are all contributing to the bullish sentiment. This suggests a global shift towards a more optimistic view of the crypto market.
Price Action: Ethereum and Bitcoin Climb
Both Ethereum and Bitcoin have seen impressive price gains in the past week. Ethereum is currently trading above $2,600, up over 11% in the past week. Bitcoin is also up over 11% in the past week, though it has dipped slightly in the past day.
Despite these recent gains, both assets are still facing resistance from bears. It remains to be seen if they can break through these levels and continue their upward climb.
