United States-based digital asset management firm Grayscale Investment recently added 75,419 ETH ($29 million) to its Ethereum Trust.
Analyst Ian Dyar tweeted the development today, using it to suggest that “Demand will flow to ETH and altcoins, which will lead to higher prices.”
— Ian Dyer (@IanDyerGuru) November 3, 2020
The purchase comes off the back of a dip at the price of ETH and is apparently a bet that the altcoin’s price will grow in the coming months. ETH was trading at a $382 price per coin at the time of writing, representing a 5% decrease in the last seven days, despite Bitcoin’s recent growth.
The calculation for Grayscale’s recent purchase is based on data available on Grayscale’s Ethereum Trust overview page.
The fund currently holds $944.9M in ETH assets under management and accounts for the most inflow into Grayscale’s family of crypto investment products. The Grayscale Ethereum Trust had 25,933,100 shares with each share worth roughly 0.093 ETH.
Meanwhile, Grayscale’s foremost product, the Bitcoin Trust continues to grow in size with the firm currently holding 456,537 BTC or 2.46% of the total market supply of bitcoins.
Going back to its altcoin bets, Coinfomania recently reported that Ethereum Classic, Bitcoin Cash, and Litecoin received the most inflows to Grayscale’s investment products since the start of the year.
The asset manager had $7.7 billion in assets under management and will now count on the recent bullish action on the price of Bitcoin to better its stellar Q3 results.
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Author: Ruth Shadrac