April crypto report praises Solana (SOL) resilience, doubts Ethereum (ETH)

Fineqia International, a digital asset and fintech investment business, today announced its April Crypto ETPs AUM report.

The company’s monthly analysis of global Exchange Traded Products (ETPs) with digital assets as underlying collateral, revealed a 64% growth in total Assets Under Management (AUM) so far in 2024.  

A tough April for cryptos

However, on a monthly basis, the total AUM dropped to $81 billion in April, from $94.4 billion at the end of March, a 14.2% decrease.

The total market value of digital assets decreased by 18.8% to about $2.29 trillion in April, from $2.82 trillion the previous month.

According to the Fineqia research, ETPs representing a diversified basket of cryptocurrencies decreased 9.5% in AUM during April, to $2.8 billion, from $3.36 billion recorded at the end of March.

However, year-to-date, the AUM of ETPs holding a basket of cryptocurrencies have risen 24.2% from $2.25 billion at the beginning of 2024.

Too expensive thanks to BTC?

This could partially be attributed to the relative expensiveness of crypto ETPs currently. As Fineqia notes:

Unsurprisingly, Fineqia attributes this surge in premium predominantly to the approval of Bitcoin (BTC) Spot ETFs in the U.S., which commenced trading on Jan. 11, stimulating capital inflows into financial products featuring digital assets as underlying assets throughout Q1.

Bundeep Singh Rangar, CEO of Fineqia, says that Hong Kong has recently witnessed the launch of crypto ETFs, with the UK poised to follow suit soon. "It’s fully baked now," he said. "With the initial rise from the SEC’s [approval of BTC ETFs] having cooled off, the loaves are ready and being served on the ETF and ETN shelves across the world."

Fineqia’s report also highlighted cryptocurrencies doing particularly well and badly in April.

Solana highlighted

In particular, Solana (SOL), comprising almost half of the alternative coins’ total AUM, was praised as “resilient”:

Compare this to Bitcoin, which saw its price decline by 13.6% to $60 150 in April, from $69,650 at the end of March. “Simultaneously,” according to Fineqia, “the AUM of ETPs with BTC as their underlying asset experienced a 13.2% decrease, dropping to $63.2 billion in April from the $72.8 billion recorded at the end of March.”

Ethereum sees near 15% drop

Meanwhile Ethereum (ETH) got a less positive report: