{"id":408051,"date":"2019-12-19T23:24:20","date_gmt":"2019-12-19T23:24:20","guid":{"rendered":"https:\/\/ktsl888.com\/?p=408051"},"modified":"2024-06-11T13:35:32","modified_gmt":"2024-06-11T13:35:32","slug":"grayscale-sees-massive-bitcoin-inflow-and-it-means-institutions-are-here","status":"publish","type":"post","link":"https:\/\/ktsl888.com\/news\/grayscale-sees-massive-bitcoin-inflow-and-it-means-institutions-are-here\/","title":{"rendered":"Grayscale Sees Massive Bitcoin Inflow and It Means Institutions are Here"},"content":{"rendered":"
Institutions have long been looked upon by Bitcoin and crypto investors as a mysterious force that would help catalyze the next major bull run. Throughout 2019, however, there was much less brazen institutional involvement than was previously expected, which greatly disappointed embattled investors.<\/p>\n
In spite of this, a recent report from a digital asset management group elucidates that institutions are, in fact, flooding into the crypto markets, and this trend is likely to spill over into 2020 and beyond.<\/p>\n
Grayscale\u2019s Bitcoin Investment Trust \u2013 which allows retail and institutional investors alike to gain exposure to Bitcoin by buying shares of the trust, has seen a massive inflow of funding throughout the latter half of 2019, despite this being the time at which BTC began its ongoing downtrend<\/a>.<\/p>\n Vision Hill Group, a digital asset management group, spoke about this trend in a recent blog post<\/a> titled \u201cAn Institutional Take on the 2019\/2020 Digital Asset Market,\u201d explaining that the influx of funding to Grayscale\u2019s Bitcoin product comes in the face of a firm bear market.<\/p>\n \u201cIn Q3 2019 the Grayscale Bitcoin Trust experienced the heaviest quarterly inflows ($171.1 million) in the product\u2019s six-year history. Across Grayscale\u2019s platform, dollar-denominated inflows hit the highest level ever in Q3 2019 and reached $254.9 million, up more than 200% quarter-over-quarter from $84.8 million in 2Q 2019. This is despite a -23.3% drawdown in bitcoin\u2019s price over the same period.,\u201d they explained.<\/p><\/blockquote>\n It is imperative to note that the increase in the amount of funds being allocated to the Grayscale Bitcoin Trust shows that crypto unsavvy groups and individuals \u2013 who don\u2019t know how (or don\u2019t want) to purchase Bitcoin via traditional digital currency exchanges \u2013 are flooding into the markets at a rapid pace.<\/p>\n In addition to the products offered by Grayscale, a significant amount of other institutional gateways into the cryptocurrency markets have opened up throughout the past year, with major players within the financial markets including TD Ameritrade, Fidelity, and NYSE parent company ICE, all releasing various Bitcoin related trading services.<\/p>\n It is important to note that the report explains that in the eyes of institutions, the crypto industry is divided into two parts: Bitcoin and \u201ceverything else.\u201d<\/p>\n Ceteris Paribus, a popular figure within the crypto industry, spoke about this section of the report in a recent tweet, saying that he believes Bitcoin<\/a> is the only thing within the markets that will become a \u201cmacro asset.\u201d<\/p>\n \u201cThis is pretty much how I view it – Bitcoin & Crypto. I don’t think Bitcoin will be all we get out of this, but if we do, I’m fine with that outcome as well. Bitcoin isn’t guaranteed to work either, but if anything in \u2018crypto\u2019 is going to become a macro asset, it’ll be Bitcoin,\u201d he noted.<\/p><\/blockquote>\n https:\/\/twitter.com\/ceterispar1bus\/status\/62576384<\/p>\nMore Institutional Gateways Likely to Stimulate Greater Interest in BTC<\/strong><\/h2>\n