In 2024, the cryptocurrency market witnessed an unprecedented $44.2 billion in investments, nearly four times the previous record of $10.5 billion set in 2021. Bitcoin led the charge, capturing the lion’s share of this capital, while Ethereum made a strong recovery in the year’s final quarter. Despite limited interest in altcoins, the massive investments in Bitcoin and Ethereum highlight ongoing confidence in the sector.
The year kicked off strong, with $44.2 billion flowing into crypto funds—an all-time high. In early 2025, the momentum continued, with $585 million in new investments pouring in within the first three days of January. However, the last two trading days of 2024 saw $75 million in outflows, signaling some profit-taking.
Bitcoin Dominates the Inflows
Bitcoin was the biggest winner in 2024, attracting $38 billion in investments—about 29% of the total assets under management (AuM) across crypto funds. A key highlight was the popularity of spot-based crypto exchange-traded funds (ETFs) in the US, which accounted for all the inflows, totaling $44.4 billion. Meanwhile, Canada and Sweden saw some outflows, as investors shifted focus to US-based products.
Ethereum’s Strong Comeback
Ethereum also saw a resurgence, particularly in the last quarter of 2024, climbing to $3,651.6 per coin. It received $4.8 billion in investments during the year, making up 26% of Ethereum’s total AuM. This marked a massive increase compared to 2023, with Ethereum receiving 60 times more investment than the previous year and 2.4 times more than in 2021.
Altcoins and Solana Struggle
Altcoins, or cryptocurrencies outside of Bitcoin and Ethereum, lagged behind. These assets attracted only $813 million in 2024, accounting for just 18% of total AuM. Solana, one of the more popular altcoins, drew just $69 million, making up only 4% of its total AuM.
Looking Ahead: Continued Confidence in Crypto
While altcoins didn’t see significant growth, the massive inflows into Bitcoin and Ethereum clearly show continued investor confidence in the cryptocurrency sector. The strong start to 2025 suggests that this trend is likely to continue, further solidifying the position of Bitcoin and Ethereum as market leaders.
