The cryptocurrency market is experiencing a real revival. Last week brought historic events, including the debut of Bitcoin-based ETFs on Wall Street, which led to a significant influx of capital to the market’s biggest players: Bitcoin, Ethereum, and XRP. Although this movement did not break records, it nevertheless heralds cautious optimism among investors who are increasingly boldly incorporating these digital assets into their financial portfolios.
Bitcoin, the king of cryptocurrencies, gathered an impressive $1.16 billion in inflows, although its price experienced a slight decline, which may indicate some investor uncertainty. Meanwhile, Ethereum presents a different picture – inflows of $26 million contributed to its price rise above $2500. XRP turned out to be an unexpected hero, with inflows of $2.2 million – the largest among alternative cryptocurrencies, resulting in a 1% price increase.
Significant increases in trading volumes of these three cryptocurrencies indicate a dynamic return of market activity. Bitcoin recorded an impressive 40% increase in trading volume within 24 hours, highlighting growing investor interest. Ethereum doubled its trading volume, indicating increased transactional activity in the ecosystem. XRP also kept up, with a 90% increase in trading volume, further intensifying market dynamics.
This sharp increase in trading activity is a decisive signal of market revival. Anticipation is evident, with investors ready for decisive actions. The market is evolving, and its participants are actively responding to changing trends and opportunities, which could be a key moment in the trajectory of these cryptocurrencies.
Nevertheless, not all cryptocurrencies experienced such growth. Altcoins such as Cardano and Solana, once stars of the cryptosphere, noted declines in inflows. This indicates a more discerning approach by investors, who currently favor established currencies like Bitcoin and Ethereum, instead of engaging in more speculative, lesser-known coins.
The geographic diversity is also interesting. The United States, a haven for Bitcoin-based ETF funds, recorded inflows of $1.24 billion. In Europe, the situation was different, with Germany, Canada, and Sweden recording significant outflows.
What will the long-term future bring for Bitcoin-based ETF funds? Some experts predict long-term benefits, while others remain cautious, questioning the sustainability of the current revival.
One thing is certain: the cryptocurrency market has made a cautious step towards Wall Street, but the road ahead remains uncertain. Will Bitcoin become Wall Street’s favorite, or will its appeal fade under intense scrutiny?
