Canadians buy the dip as Purpose Bitcoin ETF holdings reach new highs

Institutional investors are not likely to lose faith in cryptocurrency despite May’s price correction that saw Bitcoin (BTC), as low as $23,800.

Since February 2021, the Purpose Bitcoin ETF has seen a steady inflow of bitcoins over the past five trading days. According to Glassnode data, Jan Wustenfeld reported that the fund’s holdings had increased to 43 701.7 BTC by Tuesday. This is the highest record level.

Over the past 5 trading days, Canadian #Bitcoin Purpose Spot ETF has experienced persistent inflows. Wed: 752 BTC Thu: 2.06k BTC Fri: 1.82k BTC Mon: 6 BTC Tue: 2.78k BTC Assets under management new all-time high: 43.70k $BTC Previous ATH: 42.48k BTC, May 16 pic.twitter.com/vQHRd1XecC
Jan Wustenfeld (@JanWues), June 1, 2022

The Canadian spot Bitcoin ETF bought 2,006 Bitcoin on Thursday and 2,780 BTC Tuesday.

These inflows appear to be in line with a wider short-term trend of institutional buyers investing again in crypto. Coinshares data shows that digital asset investments products saw $87million in cumulative inflows over the last week. Bitcoin products accounted for $69million of that total.

This relief comes after the $141 million total outflows by institutional funds last week, which resulted in the digital asset outflow. This was the largest outflow since July 2021.

Related: Crypto funds under Management drop to a lowest not seen since July 2021

According to Coinshares, however, the total assets under management (AUM), a metric that measures the value of crypto assets, is at its lowest level since mid-2021. This could be because some institutional buyers are waiting for lower prices to allow them to inflow cryptocurrency into their funds.

Analysts still see the market as a bear market in the near term. They predict Bitcoin falling to 14,000, and call the recent price rise a bull trap. Long-term predictions are positive with Bitcoin holders still holding onto Bitcoin and younger generations remaining bullish.

https://cointelegraph.com/news/canadians-buy-the-dip-as-purpose-bitcoin-etf-holdings-reach-new-highs