According to data from CoinShares on Monday, last week’s volatility in the crypto and broader markets resulted in zero net flows in Ethereum investment products. This is the first time since the approval of new U.S.-based ETFs last year that weekly flows for the second-largest cryptocurrency have evened out to zero.
Recently, Ethereum has been heavily impacted by fears of Trump tariffs and trade wars, causing its price to drop to as low as $2,368 on Monday. The current price of ETH is $2,740 according to CoinGecko.
James Butterfill, CoinShares’ Head of Research, stated that it is rare for ETH investment products to have net zero flows. He also mentioned that sentiment towards Ethereum still seems to be negative.
CoinShares explained in its report that Ethereum ended the week with zero net flows, but experienced earlier losses due to its greater exposure to the technology sector and global growth outlook. It is worth noting that CoinShares tracks crypto funds globally, not just in the U.S.
Last week, the crypto markets were shaken after Chinese AI startup DeepSeek released a new open-source language model that was reportedly much cheaper to train than the largest U.S. models. As a result, tech investors quickly sold their stakes in American AI-related companies, causing crypto prices to decline. Both Bitcoin and ETH were heavily impacted, but Bitcoin recovered. In total, investors put $486 million into funds globally that provide exposure to Bitcoin.
CoinShares reported that despite the initial sell-off, the market rebounded with over $1 billion in inflows later in the week, referring to all crypto funds. This is a change from the previous week when investors invested nearly $2 billion in total into crypto investment funds following President Trump’s inauguration. However, the AI-related sell-off slowed down the trend, and crypto prices have since faced downward pressure after President Trump announced tariffs against Canada, China, and Mexico.
After President Trump announced a delay in U.S. tariffs and planned Mexican retaliation following a friendly conversation with Mexican President Claudia Sheinbaum, crypto prices rebounded to some extent. However, ETH continues to struggle. Currently, ETH is down nearly 8% in the past day, while Bitcoin is up 4% at $101,843.
CoinShares also noted that among all the altcoins with ETFs globally, XRP has been the second most popular lately, with year-to-date inflows reaching $105 million.