Cryptocurrency investment firm Grayscale remains relentless in its pursuit for more Bitcoin
The recent Bitcoin rally has solidified the premier cryptocurrency’s position in the minds of an increasing number of institutional investors. The crypto asset now has strong demand in the market, and many investors are seemingly competing to get hold of as many bitcoins as possible in their reserves. Grayscale has been the firm leading the charge in recent months.
The investment firm has been accumulating more and more BTC lately. A recent update showed that the company stocked up its Grayscale Bitcoin Trust with 12,319 BTC in just 24 hours. This restock sum is reported to be more than the aggregate Bitcoin purchase that the firm made last week.
Twitter user Kevin Rooke reported the increasing inflows yesterday in a tweet saying:” Bad news for Bitcoin bears. Grayscale’s Bitcoin Trust just added 12,319 BTC to $GBTC in a single day. That’s more than the 11,512 BTC they added during all of last week when Bitcoin broke its ATH.”
The digital asset manager has been active in the crypto market, specifically Bitcoin, as can be seen from its 2020 Bitcoin stash that has so far recorded an upswing of over 66%. Grayscale’s bitcoin holding has reportedly exceeded 570,000 BTC, almost 50% of the Bitcoin held by publicly traded investment trusts and firms. Grayscale’s Bitcoin Trust accounts for 3.1% of the mined Bitcoin at this time.
The increased institutional BTC purchase is a bullish sign, as rising outflows from exchanges contribute to the asset’s upward momentum. A large percentage of the outflowing bitcoin is said to be held in cold storage which, according to many analysts, could imply the asset’s best run is yet to come.
Meanwhile, Grayscale’s total assets under management have hit a new high, having increased over $3 billion in one week. Early last week, the company announced its assets under management totaled $13.0 billion. Today’s update shows the firm’s AUM (assets under management) figure is approaching $16.5 billion.
The Bitcoin Trust has the lion’s share, holding nearly $14.1 billion. The Ethereum Trust comes in at second place with $1.81 billion in AUM. Litecoin and Bitcoin Cash Trusts come in third and fourth with $125 million and $70.7 million respectively.