Bitcoin ETFs Dominate with 89% Market Share as Altcoin Funds Lose Steam

Fridah Kangai
April 23, 2025
6:01 pm

Fridah Kangai

Fridah Kangai is a dedicated crypto journalist with a sharp eye for market trends, blockchain innovation, and digital asset movements. She specializes in breaking down complex topics into clear, engaging stories for both seasoned investors and curious newcomers. With a passion for decentralization and a pulse on the ever-evolving crypto space, Fridah delivers timely, accurate, and insightful coverage. Her work bridges the gap between technology and everyday understanding in the world of cryptocurrency.

Bitcoin ETFs now control 89.46% of global crypto fund assets, dwarfing all altcoin competitors.
Ethereum and other altcoin ETFs fail to attract inflows, signaling waning investor interest.
Institutional investors continue to drive Bitcoin ETF dominance with steady inflows and strong performance.

Bitcoin exchange-traded funds have tightened their grip on the global crypto fund market, leaving altcoin ETFs far behind. According to ETF analyst Eric Balchunas on April 21, Bitcoin ETFs now control 89.46 percent of all assets under management in the crypto fund space.

The dominance has led to additional pressure against alternative funds because many alternative funds struggle to attract investor interest. The banking industry keeps investing funds mainly into Bitcoin-based products while the market waits for the release of altcoin and meme coin ETFs.

No Second Best? Bitcoin ETFs command 90% of all the crypto fund assets globally. While a TON of alt/meme coin ETFs are likely going to hit market this year, they will only make minor dent, bitcoin likely to retain at least 80-85% share long-term via @JSeyff pic.twitter.com/ym46sDFM8C
— Eric Balchunas (@EricBalchunas) April 21, 2025

As of April 20, Bitcoin ETFs held $100.59 billion in assets, a figure unmatched by any other crypto fund category. Ethereum ETFs’ market shares stood at $7.05 billion and took up 5.72% of the entire crypto fund market.

The collective investment value of altcoin ETFs and index-based funds remained limited compared to Bitcoin ETFs during recent weeks. The lack of investor interest appeared unchanged in Ethereum ETFs because they did not experience significant asset changes on April 21.

Investor Confidence Pushes Bitcoin ETFs Ahead of Competitors

The dominance of Bitcoin ETF stems overwhelmingly from institutional confidence in the market. Weekly data reveals that Bitcoin ETFs received 3,900 BTC in inflows, representing 5.52 percent of the total Bitcoin supply.

Fidelity’s Bitcoin ETF added 306 BTC this week, bringing in nearly $27 million in fresh capital. Trading volume surveys show that the iShares Bitcoin Trust ETF maintained its position as the top crypto ETF after it increased its market value by 3 percent.

Investor sentiment toward Ethereum ETFs shows more caution than Bitcoin ETFs since Ethereum ETFs use only 2.72 percent of the circulating currency. Investors refrain from allocating funds toward different crypto assets due to continuing regulatory uncertainties about the products.

Several altcoin ETFs entered this year, yet Bitcoin dominates the cryptocurrency market share. The upcoming crypto ETF sector will maintain Bitcoin ETFs as its dominant component, with a market share between 80% and 85%.

Most capital continues to flow into Bitcoin ETFs despite the limited success of altcoin ETFs in attracting investors. Due to robust institutional backing, investors who utilize ETFs to access the crypto market should select Bitcoin as their preferred cryptocurrency choice.

Also Read: Metaplanet Shocks Market with $28.2M Bitcoin Buy, Now Holds $500M in BTC!