It’s been a good week for cryptos even if the US stock markets have been under heavy pressure. ETH, the second-largest crypto on the planet, has gained 7.27 percent as of this writing and is now above the $3000 mark. Investors have begun buying ETH, which has led to a big rise in the price. This is the first time that Ethereum investment products have seen inflows after nine straight outflows.
There were $21 million in inflows over the last week according to CoinShares data. On February 11th, this amount represented 28% of all crypto investment products’ total inflow. Ethereum investment products from Europe accounted for the majority of inflows, whereas those from America saw net outflows.
After nine weeks of nonstop outflows, this suggested a significant trend reversal. A total of $209 million was invested in the cryptocurrency market by institutional investors in the last week. However, the total amount of crypto-asset fund inflows during the fourth quarter of 2021 was much smaller. Despite this, Bitcoin continued to command the lion’s share of inflows, bringing in $25 million in the previous week.
After a year of high volatility in the crypto market, professional investors remained on the sidelines. Inflation in the United States reached 7.5% in January 2021, prompting the Federal Reserve to act. As a result, investors are shifting their money away from risky assets like equities and crypto. Today, the price of Ethereum has made a strong comeback. Expert expects Ethereum to rise beyond $3,585 on the technical charts as well. All eyes are currently focused on the development of Ethereum 2.0 for the year 2022.
Highlights
- European-based Ethereum investment products accounted for the majority of last week’s institutional capital inflows.
- ETH is on the verge of a rally to $3,500 and beyond following today’s spike.
***
