The crypto market is showing signs of a bullish resurgence, with reports of an impressive billion in inflows for May alone.
Alongside this positive trend, Ethereum (ETH) has seen a notable turnaround in investor sentiment as the long-awaited spot exchange-traded funds (ETFs) for the market’s second-largest cryptocurrency received approval from the US regulators last week.
Record-Breaking Month For Crypto Products
According to a recent report from research firm CoinShares, digital asset investment products consistently attracted inflows during the four weeks, amassing a total of 5 million.
May proved to be particularly fruitful, with inflows surpassing billion. This achievement marks the first time on record that year-to-date inflows have exceeded the billion mark, highlighting investors’ growing interest in the crypto market.
Most inflows originated from the United States, with a net inflow of 0 million. However, it is worth noting that ETF issuers experienced outflows amounting to 0 million.
Switzerland also witnessed a significant uptick in investor interest, recording its second-largest weekly inflow this year at million. Meanwhile, Canada witnessed a positive turnaround, with inflows of million, despite experiencing a net outflow of million in May.
Ethereum Rebounds With 0M Inflows
Per the report, Bitcoin (BTC) continued to dominate the crypto market, attracting inflows totaling 8 million. Conversely, short-Bitcoin products witnessed another week of outflows, amounting to .5 million, suggesting that sentiment among ETF investors remains largely positive for the leading cryptocurrency.
Ethereum, on the other hand, experienced a notable change in investor sentiment following the Securities and Exchange Commission’s (SEC) approval of a spot-based ETF that is expected to launch in July 2024.
CoinShares notes that this approval marked a turning point for Ethereum, which had endured ten weeks of outflows totaling 0 million. Interestingly, the positive news for Ethereum had a ripple effect on Solana (SOL), which received an additional .8 million in inflows last week.
While direct investments in crypto assets have been thriving, blockchain equities faced a different scenario. In the past week alone, blockchain equities witnessed outflows of .2 million.
The report notes that since the beginning of the year, the sector has suffered outflows totaling 6 million, reflecting a challenging period for blockchain-related stocks.
At the time of writing, Ethereum has seen a 4% price drop in the last week, resulting in a trading price of ,770. However, the second-largest cryptocurrency on the market still holds gains of 21%, as recorded in the 30 days.
Featured image from DALL-E, chart from TradingView.com