Canadian Bitcoin ETF kept adding to its holdings despite market correction
Bitcoin demand from Canadian investors has not wavered despite heavy price correction, signals that market participants are capitalizing on huge discounted prices.
The Purpose Bitcoin ETF, launched in February, has now accumulated 19,692.149 BTC as of June 13. The ETF has added 284.51 BTC over the past seven days and nearly 2,000 BTC since May 15. The ETF added to its holdings during the May 19 flash crash that saw Bitcoin wick down below $30,000 before quickly recovering. As of now, BTC price of around $39,000, the ETF has a value of approximately $767 million.
Bitcoin’s price movement has been a source of concern for the bulls on a shorter time scale. It has been struggling below $40,000 for almost a month, attempting to reclaim that level being firmly rejected. The BTC price has been going through bearish phrases following the factors such as the confluence of technical breakdowns, weakening sentiment, and negative headlines lately.
Among crypto analysts within the industry, some believe we are still on track to break triple-digit levels this year, while others are heading for a bear market. Inflows into the Purpose fund suggest many investors are ignoring short-term fluctuations in favor of a longer-term view.
Fund managers in the United States hope to replicate the success of their Canadian counterparts by launching a Bitcoin ETF of their own. The United States Securities and Exchange Commission has begun a formal review of three ETF proposals, with the first decision expected later this month.