Grayscale BTC investments smash a record breaking Q4

bitcoin fall

Grayscale investments hit a record-breaking fourth quarter with a $3.3 billion inflow of cryptocurrency

Institutional investors continue to buy significant amounts of Bitcoin emphasising that cryptocurrency has become a popular hedge against the dollar as well as the new hot asset to diversify investment portfolios. As both Bitcoin and Ethereum rise in price, the sentiment and discussions around the tokens remain positive, trajecting a more bullish response towards the market from investors.

digital asset manager, the firm has boasted a tripling of its weekly inflow since the previous quarter, which saw $1.05 billion USD come in. With a weekly inflow of approximately $250.7 million USD now, the market is ripe for more opportunity.

Yesterday, Grayscale added more to its Bitcoin investment taking their total assets-under-management to over $26 billion USD worth of cryptocurrency.

Over the course of last year, Grayscale’s investments that came in came to a total figure of over $5.7 billion USD. To put this into context, this figure is a whopping four times the cumulative inflow from 2013 to 2019. This represents a major shift in investor’s perception of Bitcoin. With asset managers taking interest in the token, there is a new sense of demand for the cryptocurrency. Over the course of last year, the narrative shifted heavily towards Bitcoin becoming a long-term store of value rather than a quick-fix volatile profit opportunity. This shift has helped Bitcoin break records in terms of price, volume, sentiment and attention in 2020 and the increases don’t seem to be slowing down. In January this year, Bitcoin price surged to $42,000 USD which is over double the record high the cryptocurrency bagged in the last bull run in 2017.

According to Grayscale’s report, nearly 93% of the new┬áinvestments have come in from institutional investors. Asset managers make up the biggest chunk of this figure.

Related Articles

The top three privacy-focused cryptocurrencies

Privacy cryptocurrencies are designed to offer the greatest anonymity and security possible with untraceable transactions.

Anchorage announces layoffs amidst regulatory uncertainty

Another cryptocurrency firm has announced that it will be reducing its workforce to better focus resources.

What are crypto firms going to do with banking options?

With leading banks that service crypto closing down, what other options do crypto firms have for finances? In this, we explore.

The crypto-friendly Signature Bank slapped by lawsuit

The cryptocurrency-friendly Signature Bank and its former executives are being sued by shareholders for alleged fraud and misleading claims.

See All