Wall Street's Altcoin Rotation Falls Short of Altseason
The crypto market saw a significant rotation of funds on September 9th, as US exchange-traded funds tied to Ethereum, XRP, and Solana attracted almost $59 million. This influx of capital came at the expense of Bitcoin products, which lost $120.24 million.
This shift in investment was largely contained within a small group of large-cap tokens, with ETH funds taking in $34.75 million, XRP products attracting $12.29 million, and Solana adding $11.73 million. In contrast, Bitcoin funds posted their second consecutive day of withdrawals.
The pattern extends beyond a single session, as over the 30 days through September 9th, Bitcoin ETFs still dominated with $3.42 billion of net inflows, while Ether attracted $1.76 billion. Solana and XRP added $200.88 million and $185.32 million respectively.
However, despite this rotation, the broader market barely reflected it. The BlockchainCenter's Altcoin Season Index stood at 37, well below the 75 threshold at which three-quarters of the largest eligible tokens are outperforming Bitcoin over 90 days.