Crypto: Ethereum and Solana Surge, Investors Regain Confidence

Gone is the carnage of last week’s “Black Monday,” where the crypto market seemed to be in disarray. Indicators that were previously in the red have gradually turned green, bringing a breeze of optimism. This gradual transformation has spread across the entire market, with Ethereum and Solana in the spotlight, attracting notable investment flows.

Strong Return of Investments in Ethereum and Solana

Despite a price correction that shook most cryptocurrencies, Ethereum and Solana managed to stand out. Last week, these two crypto giants recorded impressive net inflows, as confirmed by our article titled “Investors Bet Big on Ethereum Despite a Harsh Market Correction”.

According to the weekly report by CoinShares, investment products related to these digital assets attracted a total of $176 million, indicating persistent interest from institutional investors.

What’s particularly remarkable is that these flows were observed across all regions of the globe, an undeniable sign of renewed confidence in the long-term potential of these cryptos.

The main inflows include:

• $155 million towards Ethereum;
• $18.3 million towards multi-asset products;
• $4.5 million towards Solana.

As highlighted in the report:

“Ethereum benefited the most from the recent market correction, attracting $155 million in inflows last week.”

Has the Bear Left the Crypto Market?

The recent crypto market correction was seen by many as a buying opportunity. Last week’s bullish trend highlighted a notable shift in investor preferences, with Ethereum leading the way.

In fact, investment products based on Ethereum captured the majority of flows, representing 88% of the total.

Since the beginning of the year, inflows into Ethereum ETPs have reached a multi-year high of $862 million, their highest level since the 2021 bubble. Although Bitcoin managed to attract $13 million at the end of the week, the star remains Ethereum.

As for Short-Bitcoin ETPs, they saw their largest outflows since May 2023, with a withdrawal of $16 million, representing 23% of assets under management.

A clear signal that the bearish trend is losing ground in favor of an optimistic recovery in the crypto market.

In just one day after “Black Monday,” altcoins emerged from the shadows, rekindling the hope of a much-anticipated recovery by investors.