The second largest crypto asset, Ethereum has recorded the highest volume of ETF inflow ever, as the crypto market booms.
According to data available on 12 November, the ETFs saw an inflow of over $300 million in one day, setting a new record. The inflow involved nine crypto assets, according to information from Farside Investors.
Sign of investor confidence
The record high inflow to Ethereum ETFs means several things, one of which is the fact that investors are becoming more confident about crypto.
This doesn’t come as a surprise, since the crypto market has seen significant price gains in the last few days. Ethereum in particular has surged to $3,400 in the course of the new rally, and could go higher if the trend continues.
Although mainstream investors as well corporate investors are usually skeptical about the market, the recent rally could have changed such sentiment, making them invest in crypto assets.
At the time of writing this report, the crypto market is in a state of extreme greed, which according to the Fear and Greed Index shows that more investors are seeking to rush in and make some money due to the ongoing rally.
This is usually the time when investors who are not long-term holders rush in to make some quick money, but it could be risky too, as the market usually reverses just when it is experiencing the highest bullish movement.
Going forward
The crypto market has experienced a lot of sideways movements before now, but investors are beginning to turn to it now that the trend is starting to change towards a bullish one.
If the trend continues, there may be more investors coming in, especially as Bitcoin and Ethereum ETFs are now a reality that address most of investors’ fears surrounding the crypto industry.
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