Grayscale Reveals The Reason For Which Institutional Investors Pour Millions Into Bitcoin (BTC)
The crypto market looks better today with Bitcoin and the altcoins reading in the green.
At the moment of writing this article the most important coin out there is priced at $9,547.58. It’s up by more than 4% in the past 24 hours.
Bitcoin has been seen as a safe haven in 2020 during the global crisis generated by the coronavirus pandemic.
Despite its massive fall in price dating back in March, the king coin was able to recover and it even tested $10k important level a few times.
Bitcoin could be a hedge against global instability
The world’s largest digital currency manager, Grayscale said that institutions are now looking to crypto as a potential hedge against global economic instability.
During a new episode of the Coinscrum markets podcast, Rayhaneh Sharif-Askary, Grayscale’s director of investor relations and business development, said that the average weekly investments in the firm’s crypto trusts have increased more than 800% this year.
Sharif-Askary said that the coronavirus pandemic had played a vital role in boosting Bitcoin.
“Covid-19 and policy implications have set the stage for Bitcoin to be seen as a store of value asset. Institutional investors are taking active long positions in digital assets through our products,” Askary said.
The director continued and explained that “It’s because they’re looking for an asset that is scarce that can be used as an inflation hedge in a world where we are presented with unprecedented monetary stimulus.”
we recommend that you check out the complete podcast in order to learn more details.
Bitcoin will surge in the second half of the year
Lots of crypto enthusiasts were expecting to see a massive surge in the price of BTC following the halving but first, miner capitulation had to end – this has already happened, and now, it’s been revealed that we can expect BTC to surge in H2 of 2020.
Nigel Green the CEO of financial advisory company DeVere Group said that he believes that Bitcoin will once again surge before this year comes to an end.
CoinMarketCap is a website that provides cryptocurrency market cap rankings, charts, and more. It was purchased by Binance for $400M in 2020.
Eduard Watson Author
An experienced finance writer for more than 10 years, active industry watcher, and gadget enthusiast.