Ethereum’s Stellar Performance
In August, Ethereum managed to strut its stuff with a 2.36% rise in assets under management (AUM), reaching $6.81 billion. Meanwhile, Bitcoin seemed to have hit a bit of a wall with a disappointing 7.16% drop, leaving it sitting at $17.4 billion. It’s like watching your friend nail the dance moves while you’re still hovering awkwardly by the punch bowl.
Shifting Trading Volumes
The trend is evident not just in AUM, but in the trading volumes too. Grayscale’s Bitcoin product, GBTC, took a plunge with a volume decrease of 24.4%. On the flip side, Ethereum’s GETH product decided to party and saw a volume increase of 23.2%. CryptoCompare hinted that all eyes were on Ethereum, likely due to the buzz surrounding the Ethereum Merge.
“No Bitcoin products covered in this report saw AUM or volume gains in August. Interest may be shifting to Ethereum-based products as the merge approaches,”
The Broad Picture of Digital Assets
The overall scene wasn’t particularly rosy either, with a 4% monthly decline in AUM figures for digital asset investment products. This drop mainly stemmed from Grayscale’s GBTC, which accounts for a hefty $13.4 billion of the entire $25.8 billion market share.
Non-Bitcoin and Ether Products Gain Traction
Interestingly enough, the “Other” category, which comprises non-Bitcoin and Ether products, saw a 12.3% increase in AUM, totaling $1.13 billion as the first three weeks of August rolled by. It’s like that underdog character stepping into the spotlight when the stars stumble.
Wall Street’s Crypto Move
Despite the bear market, August wasn’t totally uneventful. Big names like BlackRock entered the fray with their private spot Bitcoin Trust, provoking a “here comes Wall Street” reaction from Barry Silbert, former CEO of Grayscale. In addition, Charles Schwab launched the “Schwab Crypto Thematic ETF” (ticker: STCE), giving investors access to a cocktail of mining, staking companies, and blockchain applications. Meanwhile, BetaShares introduced Australia’s inaugural Metaverse-focused ETF on the Australian Stock Exchange. It’s like crypto investors have a buffet of options to explore.
