BlackRock, Fidelity, and Top Asset Managers Snag Bitcoin (BTC) on the Dip, Hold Steady
- The improving US macro data and declining Bitcoin ETF outflows have supported the Bitcoin price recovery of over 10% from Monday’s lows.
- London-based Capula Management announced nearly $500 million in Bitcoin ETF acquisitions, highlighting growing demand for regulated Bitcoin market exposure.
After slipping under $50,000 twice during Monday’s crypto market crash, the Bitcoin (BTC) price has staged a strong recovery jumping more than 10% from yesterday’s lows and currently trading all the way above $55,000 levels.
While there was a bloodbath on Satoshi Street on Monday, the markets bounced back amid improving macro data in the US market, thereby leading to a strong surge in the overall crypto market. The Bitcoin ETF market also showed strength, with the outflows on a declining trend. On Monday, the US Bitcoin ETFs saw outflows of $168 million, which was less than the $237 million outflows witnessed last Friday. While three ETFs saw strong outflows, a majority of the BTC ETFs in the US saw zero inflows, including BlackRock’s IBIT.
I urge everyone who truly believes in #Bitcoin and #XRP not to sell their bags. New data shows that #BlackRock, Fidelity, and other billion-dollar asset managers haven’t sold a single #BTC. Get ready for the ride, folks! Retweet if you have diamond hands!
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— Collin Brown (@CollinBrownXRP) August 6, 2024
Furthermore, Bitcoin ETFs have been in strong demand among institutional players worldwide. On Monday, August 5, London-based asset manager Capula Management announced that it had gained nearly $500 million in BTC ETFs, per the CNF update.
The asset manager said that many of its holdings are in BlackRock’s IBIT and Fidelity’s FBTC. This shows that more and more institutional players are willing to seek exposure to Bitcoin through regulated market products.
Buy the Bitcoin Dips
Amid the Bitcoin price crash on Monday, crypto market veterans extended support to investors, per the CNF update. Microstrategy CEO Michael Saylor stated that he’s pretty confident in the future of BTC and would continue to hold it with diamond hands. Last week, MicroStrategy announced its Q2 results wherein it stated that it is planning to raise an additional $2 billion in cash to purchase more BTC.
After yesterday’s market crash, banking giant JPMorgan stated that we’re getting closer to buying the dips. After crashing more than 6% in the early trading hours on Monday, the tech-heavy Nasdaq Index recovered to 16,200 levels by the day-end. John Schlegel, JPMorgan’s head of positioning intelligence, said:
Overall, we think we’re getting close to a tactical opportunity to buy-the-dip and our Tactical Positioning Monitor could dip further in the next few days. That said, whether we get a strong bounce or not could depend on future macro data.
Apart from Bitcoin, the bounceback in the altcoin space is even stronger. The Ethereum price gained 8%, surging past $2,500. On the other hand, major altcoins like Solana have seen 12% amid the marketwide recovery, per the CNF update.
