Institutional Investors Bet Big on Ethereum as Crypto Inflows Soar

Fifth Week of Crypto Inflows Hits $1.3B—Ethereum Outpaces Bitcoin
Global Investors Flock to Crypto: U.S. Leads $1B Inflows Surge
Tariffs Can’t Stop Crypto Boom: $7.3B in 2025 Inflows So Far

Crypto investment products saw a massive $1.3 billion in net inflows last week, nearly double the $747 million recorded the previous week, according to CoinShares. This marks the fifth consecutive week of strong inflows, pushing total investments for the year to $7.3 billion. Surprisingly, this surge came even as the crypto market faced sharp price declines following President Trump’s announcement of new tariffs on imported goods. Despite the sell-off, investor demand for crypto remained resilient.

Ethereum Steals the Spotlight
While Bitcoin-based products attracted $407 million in inflows, it was Ethereum that stole the show with $793 million—outperforming Bitcoin for the first time in 2025. Notably, U.S. spot Ethereum ETFs contributed $420 million to this figure. Ethereum’s price had plunged to around $2,100 after the tariff news, but this triggered a wave of buying as investors took advantage of the dip. According to James Butterfill, Head of Research at CoinShares, Ethereum’s strong inflows highlight growing institutional interest despite recent price corrections—a trend not mirrored by other altcoins.

Global Inflows: U.S. Dominates, Europe and Canada Follow
Regionally, the U.S. led with $1 billion in inflows, reflecting strong investor confidence. Germany, Switzerland, and Canada also showed significant activity, bringing in $61 million, $54 million, and $37 million, respectively. Altcoins like XRP and Solana attracted attention as well, with $21 million and $11 million in inflows, signaling diversified interest beyond the major players.

AUM Declines Despite Inflows—Blame the Price Drops
Despite the robust inflows, total assets under management (AUM) for crypto exchange-traded products (ETPs) fell to $163 billion, down from $181 billion in January. This decline is largely due to falling crypto prices. Weekly trading volumes, however, have remained steady at $20 billion, reflecting consistent market engagement. Bitcoin’s ETP market capitalization now represents 7.1% of its total market cap, underlining the growing influence of institutional players in the crypto space.

Tariffs, Market Volatility, and Crypto Resilience
The crypto market initially reacted negatively to President Trump’s tariff announcement, causing Bitcoin to plunge below $91,500 and Ethereum to drop by 36%. However, Bitcoin rebounded above $100,000 after news broke that tariffs on Canadian and Mexican goods would be delayed following diplomatic talks. While Ethereum’s price hasn’t recovered as strongly as Bitcoin’s, its investment products have seen remarkable growth.

Ethereum’s Mixed Fortunes: Strong Inflows, Price Struggles
Even though Ethereum-based funds outperformed Bitcoin in inflows last week, its price remains 46% below its all-time high. This has led to an uptick in short positions as traders bet against further price recovery. Nonetheless, Ethereum’s decentralized finance (DeFi) ecosystem remains a bright spot. Platforms like Uniswap and Lido continue to thrive, attracting both retail and institutional interest.

Key Takeaways:

Total Weekly Inflows: $1.3 billion (up from $747 million)
Year-to-Date Inflows: $7.3 billion
Top Performers: Ethereum ($793M), Bitcoin ($407M)
Regional Leaders: U.S. ($1B), Germany ($61M), Switzerland ($54M), Canada ($37M)
Altcoin Gains: XRP ($21M), Solana ($11M)
Despite global economic uncertainty, crypto investment products are proving their resilience, with institutional interest showing no signs of slowing down.

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