Global capital markets saw Bitcoin and Ethereum pull double digits on Monday. Investors in a Bitcoin ETF remained steady.
Monday's market turmoil led to $1 billion in liquidations, while bitcoin fell more than 17%. But investors in BlackRock's spot bitcoin exchange-traded fund are ambivalent.
According to data from the investment firm, outflows — investments in or out of property — were $0 at the market close towards the distance.
This suggests that many ETF holders are content to ride out the bloody market crash and become so-called HODLers. The term is usually applied to the crypto native “degens” and not to risk-averse baby boomer investors.
“These Boomers are like the Rock of Gibraltar compared to these Degens” Said Eric Balchunas, ETF analyst at Bloomberg. “You are very lucky to have them.”
BlackRock's Spot Bitcoin ETF is one of 11 different spot Bitcoin ETFs on the market.
However, this is the biggest. Since its launch in January, it has seen a record $20-plus billion inflows.
Among the 11 different spot bitcoin ETFs in the market, net outflows were negative at $168 million.
Products from Fidelity, Greyscale and Arc&21 shares all led the outflows.
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Monday's market turmoil saw the entire crypto market lose more than $152 million in value overnight. CoinGecko.
Global capital markets also rallied amid fears of a U.S. recession, Federal Reserve policy and extreme markets in Japan.
The fall stopped on Tuesday, but Bitcoin and Ethereum are down 17% and 27%, respectively, since last week.
Investors are now turning their attention to the Fed and its meeting on September 18.
The Chicago Mercantile Exchange's FedWatch toolA rate cut of 50 basis points, or 0.5%, is expected in September, which gauges expectations of how the Fed will adjust interest rates.
Low rates often look bullish because cheap money calls for higher investment in riskier investments, including stocks and cryptocurrencies.
Liam Kelly is a DeFi Correspondent News. arrive at [email protected].
