Institutions Add $53 Billion in Bitcoin as Retail Remains Fearful
Bitcoin reserves between 100 and 1,000 BTC may indicate continued interest in Bitcoin from institutional investors in the US.
“Institutional demand for Bitcoin remains strong,” CryptoQuant founder Ki Yang Ju said on Tuesday, adding that 577,000 bitcoins (BTC) have been added to this wallet (which includes traded funds) in the past year, and it's still flowing.
“Excluding exchanges and miners, this gives a strong reading on institutional interest.”
According to CryptoQuant, the increase has been about 33% over the past 24 months, around the time the first spot Bitcoin ETFs were launched.
Spot bitcoin ETFs in the United States have seen total inflows of $1.2 billion so far this year, although the underlying asset has gained about 6%.
“Institutions have just started investing in Bitcoin and Ethereum. I think this is just the beginning. Many people cannot imagine 2030-2040,” answered the political economist. “Crypto Sez.”
DAT holdings increased by 30% in six months.
A portion of the increase could also go down to digital asset repositories.
Crypto DATs, led by Michael Saylor's strategy, have raised 260,000 BTC since July, giving them a current market value of approximately $24 billion.
That's a 30 percent increase over the past six months, outpacing the mining supply, according to Glassnode. They now collectively hold over 1.1 million BTC.
Related: Bitcoin's ‘internal conditions' are improving: Glassnode
Retail sentiment has returned to fear
However, retailers have become more shy to crypto in the past few months.
The Bitcoin Fear and Greed Index, which measures retail market sentiment, slipped to “fear” on Tuesday this week, with a rating of 32 out of 100. This comes after it briefly flipped to “Greed” for the first time since October last week.
The increased anxiety comes as markets reacted to the trade conflict between the United States and Europe, with the price of Bitcoin retreating from $97,000 last week to $92,000 on Tuesday morning.
Magazine: Indians slam Pudgy Penguin, former digital yuan boss over crypto scandal: Asia Express
