Cryptocurrency funds snap 6 weeks of outflows, led by investments in Ethereum rival Solana
- Investment in cryptocurrency funds and products brought in $21 million last week, said CoinShares.
- Solana drew in $7.1 million, the largest amount among all digital assets.
- Solana's price has been on a tear, more than doubling in August.
Investment in crypto products and funds snapped six weeks of outflows by drawing $21 million last week, led by Solana, the token on the high-speed blockchain network that's seen its value double in August alone.
Solana was the standout cryptocurrency last week as inflows of $7.1 million outpaced that of other digital assets, said CoinShares, a digital asset management company in a weekly update published Monday.
Solana is widely regarded as a competitor to Ethereum, a blockchain platform on which so-called smart contracts are built. Solana's price jumped by 75% to $78.72 in a seven-day run ended August 20, and during Monday's session, it marked a 105% surge from the end of July.
The altcoin has been attracting attention following capital inflows into a number of projects based on Solana's blockchain. Solana is home to Serum, a decentralized exchange founded by crypto-billionaire Sam Bankman-Fried.
Crypto funds are now carrying $57.3 billion in total assets under management, the highest amount since mid-May, a reflection of positive price action and an indication of improved investor sentiment, said CoinShares.
Ethereum, whose token is ether, logged "minor" inflows of $3.2 million last week, and Cardano brought in $6.4 million.
Bitcoin was the most traded cryptocurrency, and had outflows of $2.8 million, the seventh consecutive week of outflows that matched the longest run since January 2018. "While this may suggest sentiment remains negative, it masks very mixed flows across providers," said CoinShares.
Bitcoin traded above $50,000 on Monday, surpassing that price on Sunday for the first time since May 15.