Recent price movement on the charts indicates that the world’s largest cryptocurrency by market cap Bitcoin (BTC) has remained in its price slump over the past few weeks. This is especially true following the bear market crash that saw majority of the top major digital assets sip on the price ladder.
Despite the bear market crash, there has been a number of updates and developments from multiple players in the crypto space with Bitwise the latest one of these institutions looking to be innovative in the space.
Bitcoin (BTC) Price Today – BTC / USD
Bitcoin’s Fall the Catalyst for the Market Crash
Bitcoin’s fall in the recent bear market is seen as a catalyst to the bear market. At that’s what Hunter Horsley who serves as the CEO of Bitwise, in an interview with Bloomberg, thinks. He spoke about the market crash and the investor sentiment that followed it.
Horsley stated that the present market wasn’t in a good place and that the fall of BTC was the catalyst for the market crash. He went on to add that new people have entered the crypto space, which shows a sign that the ecosystem is still in the development phase. According to the CEO:
“If you take a close look at the digital currency market particularly since the inception of the almighty Bitcoin (BTC) the digital asset bubble has not burst. The digital asset market has dropped significantly lesser when compared to the S&P 500 in crypto’s ten-year history”.
More Investors are Coming into the Bitcoin Space
According to Horsey, digital currencies trade just like public equity. However, it acts as a venture level phenomenon. The Bitwise official went on to state that client retention is as important as a mixed bag as the firm manages beta products and virtual currency funds. He said that more than 20% of the already existing customers had increased their investments and more investors trooping in. In Horsley’s words:
“Many people see the crypto industry as a bear market with a number of investors moving up all year round. Investor demographic also indicates that the investors coming into the space have also changed.”
Horsley stated that the earlier individual investors held a majority share of the tokens in the current framework. This inflow came from professional investors. He also went on to mention that sophisticated investors prefer the fund format because it allows them to think about whatever investment they intend to make. While Bitwise will see to evaluating the custodian keeping the assets.
About Bitwise’s Projects
Bitwise is a United States based startup. Just this week alone, Bitwise launched two single asset funds including the Bitwise Bitcoin Fund and the Bitwise Ethereum Fund. Following the launch, the company stated that:
“The recent launch of two single asset funds was driven by what we got from inbound client interest as well as investor dissatisfaction with the already existing options, many of which come with premiums, charge exit fees, lockups, and charge expenses for the fund apart from the stated management fee.” Whether there projects will live up to expectations remains to be seen.