CoinShares: Ethereum Accounted for 80% of Crypto Inflows Last Week

Crypto asset manager CoinShares has reported that investment inflows into institutional cryptocurrency funds surged last week, and the majority of it was Ethereum.

February 9, 2021 | AtoZ Markets – According to CoinShares, the inflow of institutional investors’ funds into cryptocurrencies in the first week of February amounted to $245 million, with 80% of this amount invested in ETH.

Coinshares Says Ethereum Becoming the Most Popular Asset

In the report, CoinShares analysts note that ether has become the most popular asset for institutional investors. At the same time, the launch of ETH futures on the CME exchange took place only on February 8.

Investments in bitcoin totaled $41.9 million in a week, although since the beginning of the year, institutional investors have invested $2.02 billion in the first cryptocurrency.

Researchers believe that large investors are beginning to diversify their cryptocurrency portfolios – shifting part of their funds from Bitcoin to Ethereum and other coins. At the same time, there are no signs of profit-taking yet – investors continue to buy and hold cryptocurrencies.

“We think that investors looking for diversification are becoming more comfortable investing in Ethereum. The inflow of funds into bitcoin is gradually decreasing, ”analysts write.

Read also: Ethereum Price Will Rally to $10,500 – Fundstrat Global Advisors

In total, in 2021, $2.6 billion was invested in cryptocurrency products.At the same time, for the entire 2020, institutional investors invested $6.7 billion in such products.

Grayscale Investments remains the largest digital asset management firm with more than $33.4 billion in funds under its management. Investments in the Grayscale Ethereum Trust continue to grow and now the fund’s capitalization is $5.1 billion.

Recall that on the evening of February 8, the total cryptocurrency market capitalization exceeded $1.3 trillion for the first time.

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