Ethereum (ETH) appears to have taken a positive turn in institutional sentiment, with digital investment products offering access to the asset seeing inflows for four straight weeks, according to data from CoinShares.

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Prior to this, ETH investment products were in a long 11-week outflow period, which showed an overall outflow since the beginning of the year (YTD). hit to $458 million in mid-June.

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According to data According to the latest release of CoinShares’ Digital Asset Fund Flows weekly report, Ether investment products recorded inflows totaling $8.1 million between July 18 and July 22, adding a significant inflow of $120 million to the previous week.

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The $120 million figure marks the biggest weekly influx of ETH products since June 2021, with CoinShares suggesting that “investor confidence is slowly recovering” as the long-awaited Ethereum merger nears completion.

Currently, year-to-date flows for ETH investment products have been reduced to $315 million in outflows, compared to $458 million in June.

Other assets

Coinshare data also shows that investment products offering access to bitcoin (BTC) posted the largest inflow last week of $19 million, adding to the previous week when BTC funds generated huge inflows of $206 million.

Notably, while institutional investors have been wary of ETH throughout most of 2022, this outlook on BTC has for the most part remained relatively positive – bar a few hurdles along the way – with BTC products bringing in an inflow of 241.3 million dollars since the beginning of the year.

Asset Streams: CoinShares

Merger is Ethereum’s chance to take over Bitcoin, researcher says

In a report shared with Cryptooshala, Singapore-based wealth manager IDEG argued that broader crypto investor sentiment is now starting to turn from neutral to bullish and expects the Ethereum merger to be a key factor in the market recovery.

“Despite delays and minor setbacks in the transition from PoW to PoS for Ethereum, the merger is now scheduled for September 22 – this gives the market a clear “positive growth catalyst”, ”the report says.

The merger is expected to be a major milestone for Ethereum as it will significantly improve network resilience and energy efficiency. However, the major upgrade will not lower gas fees, and Layer 2 is expected to serve this function for the network for the foreseeable future.