Ethereum Leads as Digital Asset Inflows Slow Amid Economic Uncertainty

The digital asset market witnessed a slowdown in inflows last week, reflecting investor caution amid ongoing economic uncertainty, according to CoinShares. The latest data highlights Ethereum's (ETH) significant role in leading the inflows, despite the overall deceleration in the sector.

Investment Landscape

Digital asset investment products recorded inflows of $286 million over the past week, extending a seven-week streak that has accumulated $11 billion. However, the pace of these inflows has notably slowed as investors await clarity from the U.S. Federal Reserve regarding its monetary policy and inflation strategies.

Regional Inflows

Regionally, the United States dominated with $175 million in inflows, trailed by Germany with $47.8 million, Switzerland at $15.7 million, Canada with $9.8 million, and Australia at $6.5 million. Conversely, Brazil and Hong Kong experienced outflows of $9.2 million and $14.6 million, respectively, the latter marking an end to its record inflow streak.

Ethereum's Dominance

Ethereum emerged as the leader in this week's inflows, attracting $296.4 million, marking its seventh consecutive week of inflows that now total $1.5 billion. This surge represents 10.5% of the total assets under management, showcasing a strong recovery in investor sentiment since the U.S. elections last November.

Bitcoin and Altcoins

In contrast, Bitcoin (BTC) experienced its second consecutive week of outflows, amounting to $56.5 million, as investors remained cautious. Short-Bitcoin products also saw outflows for the second week running. Altcoins like Sui and XRP presented a subdued performance, with Sui drawing minor inflows of $1.1 million, while XRP faced a third week of outflows totaling $6.6 million.

For further insights into the digital asset market dynamics, including detailed reports, visit the CoinShares blog.