Ethereum (ETH) exchange-traded products (ETPs) attracted $296 million in inflows last week, marking the strongest weekly performance since the 2024 U.S. presidential election. This surge in capital came despite a broader market slowdown, driven by investor uncertainty ahead of the U.S. Federal Reserve’s June interest rate decision.
Ethereum Leads Crypto Fund Inflows
Ethereum-based investment products led all crypto assets in institutional demand, making up over 10.5% of total assets under management (AUM) for digital asset ETPs. This was the seventh consecutive week of inflows into ETH funds, signaling a notable shift in investor sentiment.
$296 million in a single week reflects renewed institutional confidence in Ethereum’s long-term potential amid macroeconomic uncertainty.
Analysts suggest Ethereum may range between $2,400 and $2,800 in the short term. Supportive factors include network upgrades and continued ETF inflows, while downside risks stem from broader market volatility and global trade tensions.
Bitcoin Loses Ground as Fed Decision Looms
While Ethereum saw inflows, Bitcoin (BTC) funds experienced $56 million in outflows, marking the second consecutive week of losses. Overall digital asset product inflows totaled $286 million, largely buoyed by Ethereum’s gains.
Investor caution surrounding the Federal Reserve’s upcoming rate decision on June 18 is dampening enthusiasm for Bitcoin and other major cryptocurrencies.
Market data indicates a 99.9% probability that the Fed will hold rates steady, according to the CME Group’s FedWatch tool. However, investors are closely watching for any signs of future interest rate cuts, which could serve as catalysts for a broader crypto rally.
ETH Outlook Remains Bullish
Despite macroeconomic headwinds, the momentum behind Ethereum-based products suggests continued accumulation by institutional players. The upcoming Federal Reserve decision, along with potential ETF developments and blockchain upgrades, could pave the way for ETH to test the $2,700 level.
Ethereum’s ability to maintain inflows while Bitcoin slips is a strong signal of growing investor confidence in the asset’s underlying fundamentals and future use cases.
Conclusion
Ethereum investment products have outperformed all other crypto assets, marking a turning point in institutional sentiment. As the market braces for the next move from the Federal Reserve, Ethereum’s resilience and rising institutional interest position it well for future upside.