Ethereum Soars Over 11% Above $2,530, Institutional Products Attract $55 Million This Year
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The Ethereum (ETH) price has surged over 11% in 2024, continuing a steady growth cycle from December 2023 as it marks a weekly rise in institutional inflows to investment products.
Ethereum trades hands at $2,537 at the time of writing after marking a 5.37% growth in the last seven days and a 14.56% rise in the past month as bulls look set for more gains despite a slight market correction.
Last year, the asset notched a 91% price increase to end the year at $2,294, while its trading volumes and institutional products remained low. Still, an uptick was recorded in the fourth quarter.
3) Ethereum rose 91% in 2023, closing at $2,294 🔷
• $ETH had its highest returns in 2023 Q1, rising 49.8% from $1,196 to $1,792.
• Average daily trading volume remained relatively flat in 2023, except in Q4, where it picked up from $7.2B to $14.4B. pic.twitter.com/0LdMNJfVEO— CoinGecko (@coingecko) January 17, 2024
In terms of quarter-to-quarter price growth, Q1 2023 saw the highest price growth boosting the asset to $1,792 wiping losses from the 2022 bearish season.
2022 was notable for industry collapses and wider macroeconomic financial issues that led to a sharp crash in crypto prices, with top assets like Bitcoin (BTC) and Ethereum (ETH) losing over 55%.
Ethereum, which traded sideways around the period, still had key indicators pointing upwards leading to a cross-section of wealth managers voting it as the asset with the highest growth potential in the bear market.
Ethereum marches uphill
However, in Q4 2023, Ethereum picked up new bullish momentum as its price soared and investment products recorded inflows to end the year in the green zone.
This year opened with massive inflows to cryptocurrency products on the back of wide anticipation of a spot Bitcoin ETF approval by the United States Securities and Exchange Commission (SEC).
In the first week, digital asset funds posted $151 million in inflows, and despite BTC having the lion’s share, Ethereum recorded $30 million to start the year above rival Solana (SOL), which was described as an institutional favorite after notching inflows for consecutive weeks.
The last seven days saw $26 million inflows to Ethereum products raising its yearly total to $55 million and $241 million in the last ten weeks.
Several analysts point to the bullish uptick as the reason for the institutional appetite in the market revolving around the spot Bitcoin ETF approval.
Sequel to the approval by the SEC, digital asset investment products recorded $1.18 billion while trading volumes stood at $17.5 billion, its highest point according to CoinShares data.
US$1.18bn inflow in to Digital Assets last week as US Bitcoin ETFs begin trading — not a record thoughhttps://t.co/fo5ogzEdRk
— James Butterfill (@jbutterfill) January 15, 2024
“Ethereum saw inflows totaling $26 million and XRP $2.2 million. Solana was the most notable exception, seeing only $0.5 million inflows last week.”
While the price of Ethereum is up in the last seven days, BTC is down by $6.46% after a correction days after the spot ETF approval. Several analysts predicted a price growth as anticipated, with Matrixport projecting a price above $50,000.
Altcoins like Solana and Cardano are up $4.95% and 3.37%, respectively, in the last seven days.
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