Institutional investors are choosing Cardano and Ethereum over Bitcoin

    Cardano saw positive inflows for last week, which put it ahead of other altcoins, CoinShares data reveals. Total inflows for the week had come out to $151 million, and Cardano inflows totaled $16 million in the same period. The total year-to-date inflows for the market have now hit a record $9 billion. However, the previous year’s record had been broken three weeks ago after hitting the $7 billion mark.

    CoinShares data brought forth an exciting highlight that discusses investors’ renewed interest in altcoins such as Cardano and Ethereum. It mentions that the inflows towards Cardano have recorded a notable surge this week, nearly equaling the influx of Ethereum and bringing the total year-to-date amount to $108 million.

    Ethereum inflows totaled $17.3 million last week, followed by Cardano stabilizing at $16.4 million. A week prior, Cardano’s inflows were approximately $5 million, while Ethereum recorded steady inflows amounting to $31.4 million.

    CoinShares further stated that the recent inflow of capital in Cardano and Ethereum might have attracted more investors to invest in altcoins other than Bitcoin.

    “Digital asset investment products saw inflows totaling $151 million last week, the 13th consecutive week of inflows, bringing year-to-date inflows to a record US$9 billion. Intra-week price rises also saw total assets under management (AuM) reach record highs of nearly US$87bn, but closing the week at US$83bn.” the report stated.

    The firm also stated that the fluctuation in prices of Bitcoin combined with slow investment inflow had affected its market dominance. “Bitcoin saw the majority of inflows totaling $98 million, pushing [assets under management] to a record $56 billion. This is despite its dominance (relative performance) versus altcoins waning over the week,” it said.

    Despite the positive inflows that the overall digital asset investment product market has witnessed this week( amounting to $151 million), CoinShares reported that these numbers are “subdued” compared to the figures observed earlier this year.

    “Although flows have been positive recently, we have witnessed subdued volumes in 2H, averaging $750 million daily versus $960 million in 1H 2021,” the report said.

    Cardano’s meteoric climb, in particular, has come as little surprise to many. This increase is due to new advancements within its ecosystem and varied relationships across regions such as Africa. But, in reality, it appears that these advances are producing other outcomes as well.

    “We cannot identify a discernible catalyst at this point. The inflows are likely due to increasing positive investor sentiment for “World computer” coins,” Coinshares added.

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