Cryptocurrency

Grayscale: the growth of institutional investment in Bitcoin

Bitcoin has had a year quite particular until now. Either by the momentum he had in January, the great fall of march or the market side that has remained after the Halving in may, it is certain that much has changed. However, this has not prevented the institutions invest money in this criptomoneda. According to new reports, the institutional investment reaches 57.8 per million dollars in Bitcoin every week, according to Grayscale.

Knowing the data institutional investment in Bitcoin, according to Grayscale

According to a new report from Grayscale, the Grayscale Bitcoin Trust has been seeing entries institutional mass, with an average of 43.8 million dollars per week during the first half of 2020.

Surprisingly, most of these entries occurred in the second quarter. All this despite the fact that Bitcoin recorded a profit most notable in the early months of 2020 as mentioned above.

This indicates that the printing of money and global economic policies, little rigorous are leading investors to bet on alternatives like BTC. Therefore, we can affirm that the institutional participation in the market, crypto is growing considerably.

If we want a proof of this, just remember the headlines which appeared the legendary investor Paul Tudor Jones. In its time, Tudor announced that it is investing a remarkable percentage of their net worth in Bitcoin. Similarly, he explained that he believes that BTC will be the major beneficiary of the current global inflation.

However, Jones is not the only investor remarkable that they are adding cryptocurrencies to your investment portfolio. According to the data of the report of the second quarter and six months of Grayscale, your product BTC Trust has been seeing inflows.

Grayscale Bitcoin Trust has had entries in the millions on the part of institutional investors during the first half of 2020.

How much has been the investment in these months in the BTC Trust?

In the first half of the year, the institutions invested a total of 1,400 million dollars on all the products of the Grayscale, with an average of 43.8 million dollars a week in Bitcoin.

In addition, the entries weekly, the product grew in the second quarter of the year, which averaged 57.8 per million. A possible reason is that while there is a crisis and global recession, there are investors that are looking for hard assets or various at this time.

The company also noted in its report that the amount of Bitcoin that is being bought through their products has far exceeded the rate of production of the criptomoneda.

After that Bitcoin could be reduced to the half in may, the entries for investment in the second quarter of 2020 in the Grayscale Bitcoin Trust exceeded the number of Bitcoin mined during the same period.

This has reduced the pressure on the supply side on the criptomoneda and is a sign overwhelmingly positive for his macro perspective, especially in terms of the outlook bullish.

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About the author

Belinda Carey

Belinda Carey

A finance girl by education, Belinda has been drawn to cryptocurrencies ever since Bitcoin first emerged in the 2009. Nearly a decade later, Belinda is actively working to spread awareness about cryptocurrencies as well as their impact on the traditional currencies.

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