Originally published on: December 06, 2024
As the cryptocurrency world enters the altseason, Wall Street is showing a strong interest in alternative coins, with Ether (ETH) surpassing Bitcoin (BTC) in exchange-traded funds (ETF) inflows during the final week of November.
According to CoinShares, ETH funds saw a record $634 million in net inflows over that week, reaching a total of $2.2 billion in 2024. Investors are diversifying their portfolios in anticipation of improved regulatory conditions in the United States, driving the market towards altcoins like Ether.
Analysts are optimistic about the prospects of additional revenue coming from ETH funds. Bernstein Research predicts that Ether ETFs may soon offer staking yields, providing investors with an opportunity to earn passive income on their holdings. With annualized returns on ETH stakes around 3.1%, the potential for growth is significant.
At the time of this writing, ETH is trading near $4,000, showing a year-to-date return of 63%. This positive performance is drawing more attention from institutional investors and traditional financial entities.
In addition to the rise of Ether, this week’s Crypto Biz highlights some significant developments in the crypto industry. Meta’s stablecoin project, Diem, faced political pressure from US regulators, leading to its halt. BitGo is eyeing India’s lucrative crypto market, while Grayscale Investments seeks to launch a Solana spot ETF. Memecoins like Pepe and Bonk are gaining traction on US exchanges, following the recent election win of President-elect Donald Trump.
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