Optimism with Amun Crypto ETP Opening Sees Subpar Interest in Attempt to Reinvigorate Market
The bear market has been ruling the cryptocurrency economy for the whole of 2018 so far, and many investors have been trying to find a way to preserve themselves and their funds in different places. They’ve been trying to predict the best place for their holding through various catalysts, like the introduction of institutional players and the creation of exchange-traded funds (ETFs) using Bitcoin.
When a fintech firm named Amun decided to bring in an exchange-trade product from Switzerland, there was positively and hopefulness. After all, the product zeroed in on Bitcoin, Ethereum, XRP, Litecoin, and Bitcoin Cash. Many investors and enthusiasts started commenting on the options that could propel the crypto market back to the bull run they craved.
However, just like the unpredictability of any other product, the launch hasn’t impacted the selling of tokens as investors get out. In fact, the market has continued to plummet as bitcoin dives under the $4,000 mark and altcoins suffer just as much. Some of the experts in the field believe that this has been due to Amun’s lack of crypto interest, though it is important to note that this product is not the ETF that they wanted to be their savior.
Su Zhu, an industry executive and investor in Singapore, commented on Twitter, calling the product “HODL5,” a reference to a joke in the crypto industry. Using information from the SIX Swiss Exchange, he said,
“Day1 of the Swiss HODL5 ETF saw 27,244shares ($400k) of volume. @FlowTraders is the official marketmaker. I'll be watching this closely as a barometer of natural interest.”
There are several factors contributing to the lack of volume, starting with SIX’s position as 13th largest for stock exchanges, despite the total capital being $1.6 trillion. Many noticed that the lack of trading volume on SIX could be due to the institutional investors on it that don’t believe in the crypto market coming back up.