Spot Bitcoin ETFs Prove Institutional Investors' Appetite for Crypto
CryptoNewsTerminal Staff21 Aug, 2024
Spot Bitcoin ETFs Prove Institutional Investors' Appetite for Crypto
- Despite a 12% decline in Bitcoin's price in the second quarter, institutions continued to buy spot Bitcoin exchange-traded funds (ETFs). This trend suggests that institutional investors are increasingly interested in allocating their capital to cryptocurrencies. According to crypto asset manager Bitwise, the number of institutions that disclosed holding spot Bitcoin ETFs in Q2 increased by nearly 14%, from 965 to 1,100. Additionally, their share of total Bitcoin spot ETF assets under management (AUM) has increased from 18.74% to 21.15%. This means that institutions now hold approximately $11 billion worth of spot Bitcoin ETFs. This data indicates that institutional investors are becoming more comfortable with investing in cryptocurrencies. As the crypto market matures and regulations evolve, we can expect to see even more institutional capital flowing into crypto ETFs and other investment vehicles.
