Altcoin News: Binance Study: Institutional Investors Enter the Cryptocurrency Market

June 3, 2019, by Marko Vidrih on ALTCOIN MAGAZINE

A study of Binance, one of the largest cryptocurrency exchanges, showed that new institutional investors are coming into the industry, which may affect the rise in Bitcoin price.

According to analysts, a significant number of new institutional investors are entering the market, which have a large amount of funds.

“Institutional investors, currently representing (in our conservative assumptions) less than 10% of all long-term investors, are growing their exposure to digital assets and cryptocurrencies, as illustrated by a premium of nearly 40% for Grayscale Bitcoin Trust (GBTC) over BTC spot price at the end of May,” the company representatives said.

Note that recently the price of the shares Grayscale Bitcoin Trust has exceeded $11. As noted by the journalist Joseph Young,

“the rising cost of the company’s shares demonstrates the growing interest of institutional and accredited investors to Bitcoin and to the entire cryptocurrency market as a whole.”

Also, researchers at Binance said that over-the-counter platforms reported an increase in trading volumes. It is noted that in this case their services are resorted to by new customers who have not previously been associated with the cryptocurrency industry.

Author: Marko Vidrih