While Bitcoin (BTC) and Ethereum (ETH) have attracted attention with their weak performance in recent days, investors stand out with their different preferences.
At this point, ETF investors turned to Bitcoin and futures investors turned to Ethereum.
Investors Split Between Bitcoin and Ethereum!
Important data from the US this week is being followed before the FED's critical interest rate decision.
While expectations for an interest rate cut have been growing ahead of this data, the data shows that it has led to a major divergence between futures investors investing in Ethereum and exchange-traded funds that have converted their capital into Bitcoin.
Ethereum's 24-hour futures trading volume reached $49.4 billion, surpassing Bitcoin's $42.9 billion, according to data from analytics firm Coinanalyze.
The surge in speculative interest in Ethereum contrasts with capital flows in the ETF space.
According to data from SoSoValue, US spot Bitcoin ETFs recorded net inflows of $1.39 billion over the last ten days.
In contrast, spot Ethereum ETFs saw an outflow of $668 million during the same period, indicating that institutional investors were making a rotational trade.
Speaking to Decrypt, Stephen Gregory, founder of cryptocurrency platform Vtrader, said that the divergence between the two largest cryptocurrencies is typical, especially with the increasing likelihood of a half-point interest rate cut from the Fed, and that flows will shift to Ethereum and altcoins.
“I think we will close the third quarter with an uptrend led by altcoins.”
*This is not investment advice.
