Institutions Remain Bullish On Bitcoin’s Future As Grayscale Flexes Crypto Asset Ownership Muscle
Institutions Remain Bullish About Bitcoin’s Future
Although Bitcoin is in a bear market, there are some institutions that remain bullish about the future of the most popular virtual currency in the market. Some reports show that Grayscale continues to increase the number of BTC it holds. While the markets continue to fall, there are companies that are positive about the future of the space.
In a research report released by Diar, Grayscale Investments was able to accumulate thousands of Bitcoin for the in-house Bitcoin Investment Trust (GBTC). It seems that it now it accounts for more than 1% of the total Bitcoin supply.
During the last sell-off that the market experienced, several individuals and investors sold their funds in the market and remained expectant to see what would happen in the future. However, other companies such as Grayscale is purchasing Bitcoin in bulk to wait for a new bull run in the market.
Diar wrote about this issue:
“Record inflows, however, resulted in record Bitcoin equivalent holdings with December notching up a little versus the start of the previous month.”
It is also important to note that all the funds that Grayscale has are not from the company. Nevertheless, this shows that there is a continues flow of funds into the market using trusted third parties.
Moreover, Genesis Trading, another company owned by Digital Currency Group (DCG), seems to be positive about Bitcoin’s future. Michael Moro, the CEO of Genesis Trading, talked about Bitcoin during a conversation with CNBC saying that the company’s leading service has experienced a strong reception.
Moro has also commented that institutional debtors have paid their loans in full and there is still $130 million worth of active loans. The continuous interest from institutions hasn’t been reported as much as the bearish sentiment that is present in several analysts. There are several companies that are working in some institutional products and services to help the market receive a new influx of investors.
There are some important figures in the crypto space such as Jackson Palmer, the CEO of Dogecoin and Tom Lee, that believe virtual currencies have inherent value and that they will continue to grow in the future.
At the time of writing, Bitcoin is being traded around $3,850 and has a market cap of $67.98 billion.