Institutional Investors Sell 690 Million Worth of Bitcoin and Ethereum Showing Preference for Altcoins

In a recent move, institutional investors have unloaded Bitcoin and Ethereum, totaling $690 million in just one week, indicating a negative outlook on these cryptocurrencies. On the flip side, alternative coins like Solana are gaining traction and attracting more attention.

According to a report from CoinShares, there has been a significant outflow of $1.2 billion from digital asset investment products over the past two weeks. The report reveals a withdrawal of $484 million in a single week, with the bulk coming from the United States ($475 million) and Canada ($109 million). Interestingly, Switzerland and Brazil have seen inflows of $39 million and $48.5 million, respectively.

While Bitcoin and Ethereum have been under pressure from selling, Solana has been a standout performer. Solana has seen an inflow of $2.7 million in the week, with its current price at $127.85. Despite a 4.7% drop in the last 24 hours, SOL has seen a slight increase of 0.6% in the past hour. In early June 2024, Solana was trading around $166.14, reaching a peak of $173.18 on June 4 before gradually declining.

The substantial sell-off by institutional investors has had a significant impact on Bitcoin and Ethereum prices, with Bitcoin falling below $61,000 and Ethereum dropping below $3,300, each experiencing a nearly 5% decrease in the last 24 hours. According to CoinShares, these outflows could indicate a true correction in the crypto market as institutional investors reevaluate their portfolios in light of uncertainties surrounding potential interest rate cuts by the US Federal Reserve this year.

In conclusion, the recent shift in institutional investor behavior highlights a growing preference for altcoins amidst a bearish sentiment towards Bitcoin and Ethereum. This trend reflects changing dynamics in the cryptocurrency market.

For more updates, keep an eye on Coinpedia for the latest news on Altcoins, Bitcoin, and Ethereum.