Crypto
BlockInsider Crypto ETF Weekly: ZEC Outshines SOL, XRP and Others
Bitcoin leads a $2.72 billion ETF surge, but Zcash's growing appeal and Solana's streak raise fresh questions about altcoin demand.
BLOCKINSIDERLoadingBitcoin leads a $2.72 billion ETF surge, but Zcash's growing appeal and Solana's streak raise fresh questions about altcoin demand.
US crypto ETFs pulled in over $2.72 billion this week, their strongest haul in more than a month. Bitcoin funds led with more than $2 billion, the biggest weekly inflow since October 2025.
The surge followed a short squeeze, a Bitcoin climb to its highest level since January, and easing macro pressure.
However, it was Zcash funds that stole the altcoin spotlight. The question now is whether that momentum can hold once the short squeeze fades.
Bitcoin ETFs alone recorded over $2 billion in inflows across the past seven days. That marks the highest weekly figure since October 2025.
The reversal was sharp. Earlier this month, the funds shed $462 million in weekly outflows as rate-hike fears weighed on demand. Bitcoin then climbed above $87,000 on September 21 as short sellers were forced to cover.
Roughly $648 million in short positions were liquidated, while ETFs drew nearly $1 billion that day.
The rally came despite headwinds. The Fed hiked rates 25 basis points on September 16. The Senate rejected the CLARITY Act a day earlier.
Bitcoin ETF net assets rose to $110.1 billion from $102.5 billion.
Global risk appetite helped too. Stocks and bonds rose, oil prices eased, and optimism grew around a planned Trump-Xi summit.
Analyst Scott Melker said inflows spread across multiple funds rather than clustering in BlackRock's IBIT. Sustainability is less certain. Trace Finance's Bernardo Brites noted that stablecoin supply has not grown since May. New money, he said, is arriving mostly through Wall Street.
Short squeezes also fade once bears are cleared out. Santiment warned that extreme greed can appear near local tops. A close below $80,875 would signal trouble.
Solana ETFs attracted over $68.74 million, extending their inflow streak to a 13th straight week. That again outpaced XRP and other altcoin products. Solana funds now hold about $1.74 billion in net assets, with $1.44 billion in cumulative inflows.
They kept attracting money through the Fed hike and the CLARITY Act setback.
SOL climbed toward $120 this week, its highest level since January. The token has gained more than 26% over 30 days.
Outside developments supported the move. ZetaChain holders voted on September 20 to migrate the project to Solana, with 99.4% approval. Corporate treasuries kept buying too.
Forward Industries reported holding roughly 8.16 million SOL and equivalents.
Solana's appeal also rests on low fees and its role as the home of memecoin trading. Rival launchpads fomo and Pump are competing for trader flow on the network.
Zcash funds took in over $98 million during the past seven days. That nearly matches the prior week's $101 million.
Grayscale's ZCSH, the first US spot Zcash ETF, listed on August 25. It now manages close to $980 million in assets. Digital Currency Group also put about $100 million into the fund on September 8.
ZEC has followed, trading above $1,600 and passing Dogecoin, Hyperliquid, Chainlink and Cardano by market value.
On-chain activity backs the story. Blockworks data shows shielded transactions hit 62,379 last week, the highest weekly total in four years. Additionally, Grayscale plans a 3-for-1 share split on September 28, while 21Shares launched a Euronext-listed Zcash ETF.
Developers also eye the NU7 upgrade, which could arrive November 5 and cut block times from 75 seconds to 25.
Zcash relies on zero-knowledge cryptography, which SEC Commissioner Hester Peirce urged regulators to embrace on September 23. Analysts warn that stalled inflows could quickly unwind the Zcash rally.
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