Institutional demand for Bitcoin remains weak: Glassnode

Demand indicators include the Purpose ETF experiencing a slowdown in net inflows and GBTC trading at a noticeable discount.

Institutional demand for Bitcoin remains weak: Glassnode

Purpose Exchange-Traded Fund, one of the first approved bitcoin exchange-traded products (ETPs), has seen a slowdown in net inflows this week after experiencing a period of relatively strong demand in May and June, according to a report by Glassnode.

” week closed with the highest net outflow of -90.76 BTC since mid-May,” the report said.

Source: Glassnode

slowdown suggests that institutional demand for the largest coin by market cap remains weak in these regulated products, according to Glassnode.

By registering, you will receive emails about CoinDesk products and agree to our terms and conditions and our privacy policy. price of bitcoin fell below the crucial support level of $ 30,000 early Tuesday for the first time in four weeks. At press time, bitcoin was trading around $ 29,960.

While the data tracked by Glassnode shows weak institutional demand, the situation is somewhat encouraging in Europe.

“This is just $ 3 million of exits,” said Laurent Kssis, managing director of ETP at 21Shares AG. “In Europe, some ETP bitcoins have experienced larger outflows in one day.”

Also contributing to the bearish case for bitcoin is the performance of the greyscale bitcoin trust stock price (GBTC). GBTC shares continued to trade last week at a notable discount to the fund’s net asset value, ranging from 11% to 15.3%, demonstrating lackluster demand for the cryptocurrency, according to Glassnode.

Also read Why is Crypto Space known as the Wild West?

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