Ethereum ETPs Eclipse Bitcoin in Weekly Inflows, Signaling a New Era for Altcoin Investing

Published on: 10/02/2025

Ethereum ETPs Eclipse Bitcoin in Weekly Inflows, Signaling a New Era for Altcoin Investing

The cryptocurrency market is experiencing an intriguing shift as Ether Exchange-Traded Products (ETPs) have, for the first time in 2025, outpaced Bitcoin in weekly inflows. Over the past trading week, Ether-based ETPs recorded an impressive $793 million in inflows—95% more than Bitcoin’s $407 million—stalling a trend where investors typically favored the digital gold. This development comes on the heels of a notable dip in ETH prices below $2,700, which seemingly spurred significant buying-on-weakness, according to CoinShares’ research director, James Butterfill.

This surge in Ether inflows marks a key turning point in market sentiment. While Bitcoin still maintains its lead in year-to-date inflows—totaling nearly $6 billion and outpacing Ether by a wide margin—Ethereum’s recent performance is being interpreted as a signal of growing investor confidence in altcoins. In periods of market instability, investors sometimes turn to alternatives that may offer greater upside potential when prices are low. The uptick in Ether inflows, alongside increased activity in XRP and Solana ETPs, suggests that savvy investors are actively seeking diversification amid market volatility.

Beyond Ether, other segments of the ETP market have shown dynamic changes. XRP ETP inflows rose by approximately 45% while Solana ETPs surged by 148% week-over-week. These robust inflows across a spectrum of assets imply that the investor community is becoming increasingly nuanced in its approach, potentially indicating that the long-awaited altcoin season might be on the horizon. Yet, despite these buoyant weekly inflows, the overall Assets Under Management (AUM) for crypto ETPs fell 4% from the previous week to $163 billion—a drop also attributed to overall price declines across the market.

Notably, institutional heavyweight BlackRock’s iShares Bitcoin Trust (IBIT) recorded the largest inflows among crypto ETPs at $315 million, affirming that despite the current preference for altcoins in the weekly data, Bitcoin remains a stalwart destination for institutional investors. The dichotomy between short-term inflow patterns and long-term fundamentals is striking; Bitcoin’s solid year-to-date figures versus Ether’s and other altcoins’ recent surge could signal an evolving strategic allocation among professional and retail investors alike.

For investors and industry watchers, these developments carry several implications for the future. First, the recent “buy-the-dip” activity in Ether suggests that market participants view current price corrections as temporary, making a strong case for short-term buying opportunities. Second, the divergence between weekly and annual inflow data highlights that while BTC continues to exert long-term appeal, the market’s appetite for altcoins is gaining traction—a positive sign for diversification strategies in digital assets portfolios. Finally, the slight retracement in overall ETP AUM serves as a cautionary reminder of the inherent volatility in crypto markets, where investor enthusiasm may be tempered by short-term market corrections.

In summary, the evolving narrative in the cryptocurrency market reflects a maturing ecosystem where investors are dynamically rebalancing their positions between Bitcoin and altcoins. While long-term confidence in Bitcoin remains robust, the recent inflow trends point to growing opportunities in Ethereum and other digital assets. For forward-thinking investors, this signals the need for a balanced, diversified approach that capitalizes on both the stability of established leaders and the potential upside in emerging alternatives.