Just days before the start of 2021, institutional investors are hungry for the leading crypto. What has happened?
Three Arrows Capital reportedly has a position of more than $1 billion in crypto ‚Grayscale Bitcoin Trust‘, according to a new filing filed with the U.S. Securities and Exchange Commission.
Is the institutional FOMO driving the price of Bitcoin (BTC)?
Investors hungry for Bitcoin
In June 2020, according to a document filed with the SEC, GBTC holdings reported by Three Arrows Capital were just over 21 million shares.
According to the most recent filing, the company’s position is equivalent to approximately 39 million shares with a valuation of USD 1.24 billion, which translates into 36,969 bitcoins, or 6.1% of GBTC holdings.
„We continue to enjoy working with the Grayscale team and look forward to investing more in the crypto ecosystem,“ said Kyle Davies, co-founder of Three Arrows Capital, according to The Block.
It is worth remembering that, as of December 31st, Grayscale reported having $20 billion in assets under management, which is 10 times more since the beginning of 2020.
The increase in demand from institutional investors for Bitcoin is evident, especially when we consider that, according to Grayscale, 84% of GBTC buyers are this type of investor.
Week in Crypto: Bitcoin (BTC) can’t get enough of breaking all-time highs, how far will it go?
Bitwise manages $500 million in crypto, a 400% increase since October!
As institutional investors enter the crypto market and demand more Bitcoin, Bitwise has over $500 million in total assets under management.
And, if you’re not already surprised, just three months ago that figure was approximately $100 million.
„The speed at which professional investors are moving into crypto currencies right now is remarkable,“ said Hunter Horsley, co-founder and CEO of Bitwise, in the statement.
In addition, the Bitwise 10 Crypto Index Fund is Bitwise’s most popular crypto product, with more than $400 million in assets under management.
Do you think Bitcoin will reach $200,000?
USD 17.5 Billion Blocked in DeFi Crypto
The boom in decentralized finance may have slowed down, but it is not over.
According to DeFi Pulse’s crypto data, the TVL at DeFi reached USD 17.5 billion, setting a new historical record.
Thus the crypto community ensures that DeFi started the year with all the strength. Especially after a 23% increase in metric crypto during the first days of the year.
Ethereum wins $1,000, historic high just around the corner
ETH crypto price nears historical maximum and rates increase
Today the price of Ethereum, the second largest crypt by market capitalization, reached USD 1,0026, according to CoinMarketCap.
Thus, the crypto is at USD 300 of exceeding its historical maximum. The truth is that most of the upward movement of Ethereum and other crypts is thanks to the Bitcoin rally.
However, not everything is positive. Ethereum’s transaction rates have increased almost 400% since January 1, 2021. According to Glassnode, Ethereum’s transaction fees have reached a new all-time record of $898,000 in a single day.
Certainly higher rates indicate greater demand on the Ethereum network. But it also makes it more expensive to perform crypto transactions on it.
In a few lines…
According to Whale Alert, users have donated a considerable amount in the leading crypto for the legal defense of WikiLeaks and Assange in the last week.
Catherine Coley, CEO of Binance US, said that the recent surge in the price of leading crypto could push its price up to USD 100,000.