Institutional players are back in the crypto space over the last few weeks. However, retail support in the crypto market is still lacking as a majority of retail investors remain hesitant over fresh participation at this point.
After a brutal second quarter, Bitcoin, Ethereum, and several other cryptocurrencies rallied significantly over the last 45 days. While BTC has given a healthy 25% rally, digital assets like ETH and others have shot up anywhere between 80-100% in a short span.
The institutional push for crypto has partly played a game in the recent price rally. Over the last month, we witnessed some key developments like BlackRock partnering with crypto exchange COINBASE to offer its institutional clients exposure to Bitcoin and crypto. Hedge fund giant Brevan Howard also raised more than $1 billion for a new crypto fund. In its recent note, BlockFi noted:
Bitcoin’s rally “may be attributed to the recent optimistic headlines on continued institutional adoption of crypto”. Bitcoin’s rally “may be attributed to the recent optimistic headlines on continued institutional adoption of crypto”.
BlackRock is the world’s largest asset manager with more than $10 trillion in assets under management (AUM). The participation from BlackRock clearly shows that institutional demand for crypto remains upbeat.
