Bitcoin price hits two-month high after $45 billion hedge fund GoldenTree is reportedly investing in BTC
Bitcoin price once crossed the $42,000 threshold, reaching as high as $42,300 after news that New York-based asset management firm GoldenTree has reportedly added Bitcoin to its balance sheet. At press time, BTC is currently changing hands at $41,939, recorded an increase of nearly 25% in the past seven days.
Bitcoin price hits its highest level since mid-May
After spending most of the day in negative territory because of negative news from Binance, the market-leading cryptocurrency spiked, hitting its highest level since mid-May. Bitcoin is currently trading near $42,000 at press time. The bullish sentiment is back after a sharp sell-off in May and two months of consolidation above the $30,000 support.
BTC/USD 4-hour chart | Source: TradingView
According to a report from financial news outlet The Street, GoldenTree, the firm with roughly $45 billion in assets under management, has purchased some Bitcoin but has seemingly shied away from other cryptocurrency investments. However, the amount of this supposed investment remains unknown
Citing two sources with knowledge of the matter, the publication reported the BTC purchase followed discussions between executives regarding hiring staffers familiar with crypto investments. The Street also did not confirm the source, stating only they were “granted anonymity to discuss sensitive business dealings.”
It is not known what the real story is, but this is probably also “rumor” information and inflates the price for BTC, like Amazon’s story not long ago. As soon as Amazon confirmed not to accept BTC, the price plummeted and was only pulled back up by market momentum.
However, the reality of this news cannot be denied. Because, in fact, some asset management firms have begun to delve into the crypto space as well, either through direct investments or by offering investment vehicles for Bitcoin and other tokens. Last week, as AZCoin News reported, Stone Ridge Asset Management filed a prospectus with the U.S. Securities and Exchange Commission (SEC) to add BTC to its open-end mutual fund. Recently, the first publicly available Bitcoin mutual fund in the United States has been launched by ProFunds a premier provider of a diverse lineup of mutual funds.
That shows that institutional investors are also not to be left behind in their plans to accumulate more Bitcoin. MicroStrategy, which holds about 105.085 Bitcoin, said in its second-quarter report that the company intends to deploy additional capital into our digital asset strategy.
Meanwhile, the report from CryptoQuant shows BTC’s bullish momentum enough capital for a breakthrough of $42,000.
“Whenever the SSR is touching BB (128, 2) lower band, the current stablecoin supply has more buying power to purchase BTC. Historically in this cycle, every time after a market’s correlation when SSR drops to BB lower band, we have had a price recovery after. Since BTC touched the BB lower band mid-Jun, this indicator showed sufficient buying power in the market to start a price recovery. Today price broke through a vital technical/psychological barrier at $ 42,000 for the first time since May,” CryptoQuant stated.
Of course, when BTC rises, the altcoin market also has positive developments. The top 20 cryptocurrencies on CoinMarketCap also reported an increase of 2% – 5% on the day, with Chainlink (LINK) in particular recording a double-digit increase, nearly 12% in the past 24 hours. Meanwhile, Flow, a token powering a blockchain network focused on Non-Fungible tokens (NFT), surged in price after Binance said it would list the project. On a 24-hour basis, the cryptocurrency is up to 32%, changing hands at $23.96.
The overall cryptocurrency market cap now stands at $1,636 trillion, a 3% increase in the last 24 hours. Meanwhile, Bitcoin Dominance is 48.3%.
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