The crypto market is experiencing a significant surge in institutional investment, with crypto funds attracting an impressive $1.9 billion in inflows last week, pushing month-to-date inflows to a record $11.2 billion. This robust demand has propelled total assets under management (AuM) to a new high of $221.5 billion.
This period has also seen a rotation of capital from Bitcoin into altcoins like Ethereum, Solana, and XRP, as the altcoin season index bounced back to 49 and Bitcoin dominance dipped below 60%.
Solana (SOL) and XRP have continued to show exceptional strength, maintaining high institutional inflows from previous weeks.
Solana inflows skyrocketed to $311.5 million last week, a massive jump from $39.1 million previously. This influx helped push SOL's price past the $200 psychological level. Key drivers include strong inflows into the Rex-Osprey Solana Staking ETF (SSK) and growing optimism around a spot Solana ETF approval. Options traders are even betting on SOL hitting $225 in August, with one whale opening a significant leveraged long position. Analysts predict a potential new all-time high if SOL maintains above $200.
Similarly, XRP saw demand surge, with inflows increasing to $189.6 million from $36.1 million. This strong interest is fueled by anticipation of the Rex-Osprey XRP ETF review by the U.S. SEC, the launch of the ProShares Ultra XRP ETF, and bullish price predictions of $6. Options traders are targeting an XRP price of $4.4 in early August, with whales actively accumulating, signaling a potential rally.Other altcoins like Sui and Cardano also recorded inflows of $8.1 million and $1.3 million, respectively.
While Solana and XRP soared, Bitcoin saw notable outflows of $175 million last week, a sharp contrast to its previous $2.2 billion in inflows. This suggests a clear capital rotation by institutional investors into altcoins. Spot Bitcoin ETFs also experienced outflows after a 12-day streak of inflows.
Ethereum (ETH), on the other hand, recorded its second-highest inflows ever at $1.59 billion last week, bringing its year-to-date inflows to $7.79 billion, surpassing all of last year's total. However, these inflows did dip slightly from the previous week's record of $2.12 billion, as some positive momentum faltered amid large short positions.
Geographically, the United States and Germany led with strong inflows of $2 billion and $70 million respectively, while Brazil, Canada, and Hong Kong saw outflows.
Deribit data indicates that options traders are actively positioning for rallies in both SOL and XRP. For Solana, a significant number of call options target $225 in August. For XRP, options traders are eyeing a move to $4.4 in the first weeks of August, with the monthly expiry data suggesting a price range between $3.2 and $4. Recent whale activity, including large long positions, further underscores this bullish sentiment for both assets.
July 2025, Cryptoniteuae