According to a report by CoinShares, institutional investors have primarily concentrated on Bitcoin in the past two weeks as the cryptocurrency achieves new 2023 highs.
The research, led by James Butterfill, revealed Bitcoin-centric products accounted for $310.6 million of the total inflows in the past fortnight, marking a considerable 98% of all digital asset flows.
This is a significant shift following nine continuous weeks of outflows.
In 2023, this is the second instance where Bitcoin products composed 98% of total inflows into cryptocurrency investment vehicles.
The recent boost aligns with Bitcoin’s escalating price and market dominance.
The surge is widely attributed to the Bitcoin ETF application by BlackRock on June 15, followed by similar filings from Invesco, Fidelity, Wisdom Tree, and Valkyrie.
Since these submissions, Bitcoin’s price has seen a substantial increase of 25.2%, valued at $31,131.
Additionally, Bitcoin’s market dominance, gauged by its market cap compared to the total market cap of all cryptocurrencies, rose to 51.46%.
Contrastingly, Ethereum investment products registered inflows of $2.7 million last week, marking the second consecutive week of inflows and breaking a prolonged outflow trend.
Fireblocks CEO, Michael Shaulov, indicated in a conversation with Cointelegraph that institutional investors were interested in core assets like Bitcoin and Ether, but less enthusiastic about alternate cryptocurrencies.
Shaulov explained that the Ethereum narrative revolves around the likelihood of future tokenization ecosystems being based on Ethereum Virtual Machine (EVM).
This factor could boost Ethereum’s utility. However, for Bitcoin, the narrative is less defined, but most investors recognize the cryptocurrency’s essentiality in their portfolio.
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