Institutional investors have been at the forefront of Bitcoin and Ethereum for years. These cryptocurrencies are the biggest by market capital, and they also have the highest prospects. Institutional investors have become more competitive as a result.
There are many other alternatives to Ethereum, which has created some strong contenders. Now institutional investors are moving away from Ethereum, and investing their money in other altcoins.
Altcoins Steal Market Share
The market is rapidly rising and institutional investors are now fully focusing their attention on altcoins. These altcoins’ inflows over the past week are proof of their success. Although the inflow into the market is not at its previous peak, it has seen a higher share of these altcoins. Institutional investors are paying more attention to altcoins like Terra, Algorant, Terra and Avalanches.
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These altcoins saw good inflows and also took up the majority of all the weekly inflows. Avalanche received $1.8million, Terra got $0.7million, Terra got $0.7million, and Algorand got $0.2million.
Together, the altcoins brought in $3.5 Million in inflows at a moment when large digital assets have been in short supply.
Recovering crypto market capital to $1.8 Trillion | Source: Crypto Total Market Cap on TradingView.com
Institutional Investors Don’t Want Bitcoin, Ethereum
Bitcoin was the leader in inflows, and has been for the most part the main source of institutional investor capital inflows. But, it has seen a decline in its market share. Only minor inflows of $2.6 million were registered by the pioneer cryptocurrency for this one-week period.
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Ethereum has seen massive outflows. Institutional investors are leaving the digital asset market at an alarming pace. With $16.9million moving out of the asset in the last week, this marks the third consecutive week. This has brought Ethereum’s year-to-date outflows to a staggering $169 million.
Bitcoin’s outflows for the week had slowed considerably compared to its counterparts. Outflows to the digital asset have been limited at $7.2million. Its month-to-date outflows, however, remain high at $178million.
The situation with blockchain equity is not too dire. Inflows to the company amounted up to $3 million during that same period. The total inflows for short-term bitcoin investment products was $4 million.
Featured Image from CryptoSlate. Chart from TradingView.com