Cardano attracted substantial institutional investment last week after the world’s third-largest cryptocurrency registered an all-time high of nearly $3 on 24 August 2021. The latest weekly digital asset fund flows report published by CoinShares shows that Cardano investment products saw $10.1 million worth of inflows last week, the highest level on record.
Overall, digital asset investment products attracted $24 million worth of inflows in the previous week. Altcoins (including Ethereum and Cardano) now represent approximately 32% of the total digital assets under management (AUM). The dominance of altcoins in the global crypto AUM touched an all-time high of 35% in May 2021.
Despite the latest jump in institutional investment related to Ethereum, Cardano, Solana, and Polkadot, Bitcoin’s institutional inflows have dried up. In fact, BTC investment products saw outflows worth $3.8 million last week.
“Bitcoin saw outflows for the 8th consecutive week with outflows totaling US$3.8m. 14 out of the last 16 weeks have been outflows and a total of US$650m. The highlight this week was from Cardano, which saw inflows totaling US$10.1m this week, its largest on record, bringing its market share to 0.15%,” CoinShares mentioned in the report.
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Cardano, Solana, and Ethereum
The latest jump in the overall institutional inflows in cryptocurrency investment products is mainly due to the positive market sentiment of altcoins. While Bitcoin has struggled with institutional inflows, Ethereum, Cardano, and Solana attracted a total of $30 million worth of inflows last week. In terms of price action, Cardano and Solana touched all-time highs this month and Ethereum saw a jump of nearly 30% within the last 4 weeks.
“Ethereum saw inflows totaling US$17m last week with only 7 of the last 16 weeks seeing outflows. Ethereum’s market share remains stable at 25%. Both Solana and Polkadot continued to see inflows of US$2.7m and US$1.5m respectively. Solana has overtaken Bitcoin Cash’s AuM and now totals US$15.7m,” the report added.
Cardano is currently trading near $2.75 with a market cap of over $88 billion.