The post Institutions Boost Holdings of US Spot Bitcoin ETFs Despite Q2 Volatility appeared on BitcoinEthereumNews.com.

The appetite for US spot Bitcoin [BTC] ETFs among institutional investors has remained robust in Q2. Notably, Morgan Stanley and Goldman Sachs have emerged as prominent holders of BlackRock’s IBIT. Matt Hougan from Bitwise reports a 30% increase in the number of holders, signaling strong institutional interest in BTC ETFs despite market volatility. Institutional investors continue to show unwavering interest in Bitcoin ETFs, with a significant rise in holdings despite market downturns. Institutional Adoption of BTC ETFs Remains Strong in Q2 Institutional interest in US spot Bitcoin ETFs has not dwindled, with more institutions holding and increasing their positions amid recent market fluctuations. Even as Bitcoin faced a downturn in Q2, prominent financial institutions such as Morgan Stanley and Goldman Sachs elevated their stakes in BlackRock’s IBIT. Key Metrics Indicate Continued Accumulation According to Matt Hougan, Bitwise’s CIO, the trend of accumulation persisted into Q2, with a reported 30% increase in holders from Q1. This robust interest, even amid declining BTC prices, underscores the growing confidence institutional investors have in Bitcoin ETFs. Hougan highlighted that there were 1,924 ETF holder pairs across 10 ETFs, up from 1,479 in Q1. Performance of Institutional Investments Despite Market Volatility Hougan’s analysis revealed that 66% of professional investors who initiated their positions in Q1 either held steady or increased their holdings in Q2. This behavior contradicts the expectation that institutions would offload their holdings in response to market volatility. Specifically, 44% of these investors increased their positions, 22% maintained their holdings, while only 21% reduced their exposure, and a mere 13% exited their positions. Morgan Stanley and Goldman Sachs Lead in Holdings Recent 13F filings disclosed that Goldman Sachs and Morgan Stanley have made significant investments in the iShares Bitcoin Trust (IBIT). By June 30th, Goldman Sachs held $238.6 million in IBIT, whereas Morgan…

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Filed under: News - @ August 15, 2024 7:24 pm