FTX Crash Becomes an Opportunity for Institutional Investors to Purchase Crypto
In the last week, a great influx was recorded in cryptocurrency investment products. It seems that it is the institutional investors who went for gains from the crypto products as their prices dipped.
Best Opportunity for Institutional Investors
The recent activity witnessed in terms of crypto investment products has confirmed that institutional investors have benefited the most from the situation.
Turns out, the bottom cryptocurrency prices have become the best opportunity for institutional investors to HODL as many assets as possible.
The global crypto market collapse was witnessed as the Alameda Research and FTX exchange announced they were filing bankruptcy.
Massive Investm3ents Influx
CoinShares, a data analytical firm from the crypto-verse shared details about the huge inflows recorded for the crypto trading products.
It revealed that the week starting November 7, recorded a total influx of $42 million in crypto trading products. The data shows it is the largest influx the crypto trading products have witnessed in 14 weeks.
Among the major crypto investment products, Bitcoin recorded the highest influx value followed by Ether and altcoins.
Bitcoin reportedly saw an influx of $19 million, Ether witnessed $5.9 million, and $8.6 million in altcoins.
The weekly inflows for short Bitcoin products recorded investments of $4.8 million. This means that many investors were also expecting to generate short gains and were ready to see a further plummet for BTC.
The regional influx segregation shows that the United States took the lead in recording the high net inflows. The US was followed by Brazil and then it was Canada.
In terms of figures, the United States took the lead with $29 million in net inflows. Brazil and Canada registered $8 million and $4.3 million worth of inflows respectively.
Souring Blockchain Equities
Just as the investors were interested to gather as many crypto investment products as possible, the situation was also building up for crypto outflows.
It was recorded that the blockchain equities were souring as the investors were also withdrawing their funds from the platforms. The outlook recorded in the same period has been very high as well.
The report from CoinShares has confirmed that the weekly outflows recorded for the week starting from November 7 were $32 million. These weekly outflows dented the overall equities of the blockchain networks.
It is further confirmed that the weekly outflows in the particular week were the highest since May.
There is a Bright Side
Although a huge outflow is being recorded for Bitcoin, Ether, and altcoins from the blockchains and exchanges, it does not mean they are being sold.
On the other hand, institutional investors are accumulating BTC, ETH, and altcoins due to the low prices. It is only a matter of time before the scarcity of the assets would rise, giving encouraging high demand.
This would eventually lead to increasing the trading prices of all major assets plus the altcoins.
