Ethereum outperforms Bitcoin in institutional inflows

Bitcoin witnessed the biggest on-record outflow of $98 million last week, CoinShares reported.

According to the second-biggest and largest European digital asset manager, the recorded outflows came solely from Bitcoin investment products with the amount accounting for 0.2% of total assets under management. While the percentage may be small, it is the biggest on the record books of CoinShare, with the second being the $19 million outflow recorded in May 2019.

The asset managing company also noted that prior to the plunge of crypto prices last week, Bitcoin investment products already stared at some major outflows.

Ethereum outperforms Bitcoin

On the other hand, Ethereum, the second-largest cryptocurrency, recorded significant institutional investment inflows.

In fact, it outperformed Bitcoin as it tallied $4.1 billion trading volumes in digital asset investment products. Bitcoin only managed $3.1 billion worth of inflows.

According to CoinShares, last week, only outflows were recorded as investment products for the leading cryptocurrency, while Ethereum and other altcoins had major inflows.

“Altcoin investment products overall totaled $48 million in inflows, suggesting that investors have been diversifying out of BTC and into altcoin investment products,” CoinShares said.

Altcoins record significant inflows as well

In terms of institutional inflows, some altcoins recorded respectable gains, with Cardano registering $6 million and Polkadot having $3.3 million.

With Bitcoin having a sharp fall, losing 35%, investors changed their cryptocurrency asset strategies and shifted their attention to assets with new developments in their networks such as Ethereum.

The CoinShares report concluded that even though crypto-asset investment products are looking at a major outflow of $50 million, the largest since May 19, it is unlikely to influence the general perspective towards digital assets. CoinShares said, “Historical data implies that outflows of this nature have not marked pivotal points in sentiment change for digital assets.”

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Source: https://bitcoinerx.com/blockchain/ethereum-outperforms-bitcoin-in-institutional-inflows/