The improving outlook for decentralized finance (DeFi) and a more favorable regulatory landscape under the incoming U.S. administration have shifted market sentiment towards ether, said LMAX strategist Joel Kruger.

On Friday, U.S.-listed spot ethereum (ETH) exchange-traded funds (ETFs) saw record inflows, signaling a strong rebound for ether as it begins to catch up with bitcoin (BTC) after a period of underperformance.

The nine ETH ETFs together recorded $332.9 million in net inflows during Friday’s shortened session, according to data from Farside Investors. BlackRock’s iShares Ethereum Trust (ETHA) and Fidelity’s Ethereum Fund (FETH) were the largest contributors, bringing in $250 million and $79 million, respectively.

This marked the fifth consecutive session of net inflows for the group and capped off a strong week with a total of $455 million in inflows, as reported by SoSoValue. The week was shorter due to the closure of U.S. traditional markets on Thanksgiving Day.

Ether ETFs outpaced bitcoin ETFs, which gathered $320 million in inflows on Friday but experienced net outflows throughout the week.

After trailing bitcoin for much of the year, ether has seen renewed interest, fueled by Donald Trump’s election victory and growing optimism surrounding altcoins and DeFi applications.

In addition to the robust ETF inflows, open interest for CME ether ETF futures has surged to record levels, approaching $3 billion, according to CoinGlass data, reflecting the growing institutional interest in the asset.