XRP Dwarfs Cardano, Ethereum by Weekly Institutional Inflows
u.today 23 September 2024 18:41, UTC According to the recent CoinShares report, last week, institutional investors increased their bet on XRP, while withdrawing funds from ADA and the second largest cryptocurrency, Ethereum. The report was shared on the X platform by Chinese cryptocurrency blogger and journalist Colin Wu on his personal page.
XRP has seen $0.1 million added by investors, while Cardano’s native coin, ADA, faced a $0.2 million outflow and Ethereum lost $28.5 million. Litecoin and Solana outpaced XRP, with $0.2 million and $3.2 million inflows over the last week.
According to CoinShares, digital asset investment products saw net inflows for the second week in a row, totaling $321 million. This was likely driven by the FOMC’s decision to cut interest rates by 50 bps. Bitcoin saw inflows of $284 million. Ethereum saw outflows for the fifth…
— Wu Blockchain (@WuBlockchain) September 23, 2024
BNB lost $0.7 million, surpassing ADA and TRX in outflows. Bitcoin turned out to be the winner this time with a staggering $284 million in institutional money bet on it. This Bitcoin inflow has surpassed the month-to-date ones, which totaled $76 million. Overall, since the start of the year, the world’s flagship cryptocurrency has seen an impressive inflow of $20,060 million.
The report also revealed that last week, spot Bitcoin ETFs of Fidelity and Ark Invest were the leaders in inflows, with $138 and $102 million absorbed by them.
Over the past 24 hours, Bitcoin topped the $64,000 level and briefly went up by 2.81% to reach the $64,360 zone. By now, the price has reversed, rolling back to $63,300. Enthusiastic about the weekly BTC growth of more than 11% from $57,600, financial institutions put in hundreds of millions of dollars in BTC and products based on it last week.
The massive price surge was inspired by Fed Reserve chairman Jerome Powell announcing at the scheduled FOMC meeting on Wednesday that the bank opted to reduce the interest rate by 50 basis points, rather than by 25 bps, as many thought in the beginning. Experts now believe that the Fed will now be driven to drop the rate by 75 more basis points and announce this intention at the approaching FOMC meetings this year.
As for Ethereum, in the past week, this prominent cryptocurrency gained momentum to stage an almost 17% increase as it soared from the $2,294 to the $2,677 level. By now, ETH has seen a slight rollback and is changing hands at $2,464 per coin. Overall, the crypto market has responded positively to the Federal Reserve’s rate cut.
