Bitcoin and Ethereum have always been at the forefront of institutional investors. This is for good reasons too, as it is not only the largest cryptocurrency by market cap, but also the most popular with the best prospects. Over time, the competition has become more intense in attracting the attention of institutional investors.
The rise of other digital currencies has brought up some formidable competitors to these two cryptocurrencies. Now, institutional investors are now turning away from the two biggest and pouring money into other altcoins, taking a completely bearish stance on Ethereum.
Altcoins steal market share
Institutional investors are now completely transformed interest to the fast rising altcoins in the market. This is evidenced by The inflows witnessed by some of these altcoins during the past week. While the amount of inflow into the market has not been to the previous highs, the share that went into these cryptocurrencies was higher. These altcoins are getting more attention from institutional investors including the likes of Solana, Terra, Avalanches, and Algorant.
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These altcoins not only saw good inflows, but they also captured the majority of inflows recorded for this week. Notable inflows include $1.8 million for avalanche, $0.8 million for Solana, $0.7 million for Terra, and $0.2 million for Algorand.
In total, these altcoins brought together $3.5 million in inflows at a time when outflows were the day-to-day system of the largest digital assets.
Crypto total market cap recovers to $1.8 trillion | Source: Crypto Total Market Cap on TradingView.com
Institutional Investors Don’t Want Bitcoin and Ethereum
Bitcoin usually leads the pack when it comes to inflows in the past which always make up the majority of institutional investor inflows. However, its share in this market continued to decline. The leading cryptocurrency recorded only slight inflows of $2.6 million for a one-week period.
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As for Ethereum, ut has continued to record massive outflows. This indicates that institutional investors are withdrawing from digital assets at an alarming rate. This makes for the third consecutive week of asset outflows with $16.9 million out of it last week alone. This has brought year-to-date Ethereum inflows to $169 million.
This week’s Bitcoin outflows have slowed significantly compared to their peers. The digital assets only saw an outflow of $7.2 million. However, its month-to-date outflows remain high at $178 million.
However, the performance of Blockchain stocks is not too bad. They recorded inflows of up to $3 million for the same time period. While short bitcoin investment products saw slight inflows amounting to a total of $4 million.
Featured image from CryptoSlate, chart from TradingView.com