Crypto
BlockInsider Crypto ETF Weekly: ZEC Shines While TRX Dies
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Bitcoin and Ethereum ETFs bled hundreds of millions this week. Meanwhile, one privacy coin fund quietly stole the spotlight. The shift happened across trading desks in the US this week.
Investors rotated capital away from majors and into a surprising winner. Here's how the numbers broke down across the board.
BTC ETFs shed $462 million in outflows over the past week. ETH funds fared worse in the short term. They lost $365 million in just 48 hours. Yet not every asset suffered equally during the selloff.
SOL managed to post $10.3 million in inflows this week. XRP fared even better, pulling in $18.9 million for the week. LINK also stayed in positive territory, adding $5.3 million.
Capital didn't flee crypto broadly; it simply moved around. The divergence between majors and altcoins caught several analysts off guard. Typically, Bitcoin and Ethereum outflows drag sentiment across the entire sector. This week broke that pattern in a notable way.
That altcoin resilience didn't last long for everyone. XRP is now facing a rough September. The token logged its second outflow streak, losing $12 million across two sessions. SOL's story looks even more concerning right now.
September 17 recorded exactly $0 in either inflows or outflows. Investors appear to have simply stepped away from the asset for now.
Tron's ETF debut turned into a cautionary tale. Canary Capital launched the Canary Staked TRX ETF on September 15. Day one brought in $491,060, a modest but real start. Since then, flows have flatlined completely.
$0 inflows, $0 outflows, day after day. Investors don't seem to want Tron exposure through an ETF wrapper at all. That pattern mirrors what happened with DOT, DOGE, and AVAX.
Each of those altcoin ETFs launched with initial curiosity, then went quiet. Novelty alone hasn't been enough to sustain flows in this market cycle. Analysts have pointed to a broader trend behind these stalls. Newer altcoin ETFs often lack the liquidity infrastructure that Bitcoin funds enjoy.
Market makers may be hesitant without deeper secondary market demand. Issuers now face a harder question following Tron's quiet debut. Launching a fund is one thing; sustaining daily trading interest is another entirely.
While majors bled and altcoins stalled, one fund kept climbing. Grayscale's ZCSH, the recently launched Zcash ETF, recorded $46.56 million in inflows over just the last 24 hours. That single-day figure capped an already strong week for the fund. Weekly inflows for ZCSH reached $101.9 million total.
The privacy coin has clearly captured a very different kind of investor appetite. Zcash's shielded-transaction technology has drawn renewed institutional interest lately, especially among funds seeking exposure beyond Bitcoin and Ethereum. Its price has surged sharply in recent weeks.
That rally appears to be feeding directly into ETF demand rather than fading alongside it.
The contrast with Tron couldn't be starker this week. One newly launched altcoin fund went completely silent within days. Another, focused on privacy tech, kept pulling in tens of millions daily.
That divergence says something about what investors actually want right now. Novelty tokens without a clear narrative struggle to hold attention. Assets tied to a distinct use case, like financial privacy, seem to travel further.
Grayscale's own AUM figures back up that reading further. ZCSH crossed $500 million in assets within roughly three weeks. That pace outstrips most altcoin ETF launches seen so far this year. For now, ZEC stands out as this week's rare bright spot.
Everything else, from Bitcoin to Tron, told a more cautious story. Whether that momentum holds into next week remains an open question for traders watching these flows.
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