According to U.Today, Solana (SOL) and XRP have seen a combined inflow of $4.5 million, as interest in altcoins grows over Bitcoin. The report by CoinShares reveals that Bitcoin experienced outflows in the past week, suggesting investors are reallocating their assets. Solana and XRP have become the beneficiaries of this shift, attracting $4.1 million and $0.4 million, respectively.
Digital asset investment products recorded outflows for the third consecutive week, totaling $435 million. These outflows were primarily focused on Bitcoin and Ethereum, which recorded $423 million and $38 million, respectively. The majority of Bitcoin outflows originated from the Grayscale ETF, which experienced $440 million in outflows, its lowest in nine weeks. While Grayscale's outflows continue to slow, inflows from new ETFs have decreased, with only $126 million inflows last week, down from $254 million the previous week.
Amid a decrease in Bitcoin inflows, a wide range of altcoins have seen inflows, with investors favoring multi-coin investment products. This redistribution of funds could have significant implications for the crypto market. It could indicate that investors are looking beyond Bitcoin to build a more diversified crypto portfolio. If this trend continues, it could lead to altcoins reducing Bitcoin's dominance. The current market sentiment remains a mix of caution and anticipation as traders and investors prepare for a major Federal Reserve meeting later this week. There is growing anticipation regarding the meeting's likely indication of higher-for-longer interest rates, causing market participants to brace themselves for potential consequences for digital assets.
At the time of writing, Solana was down 4.80% in the last 24 hours to $135.22; XRP was likewise down 2.20% in the same time frame to $0.5081. Bitcoin was down 1.65% to $62,356 after hitting a week low of $61,928 in today's trading session.