The world’s largest Bitcoin spot ETF is buying Bitcoin again after spending four weeks reducing its holdings.
Purpose Bitcoin ETF is an exchange-traded fund incorporated in Canada. The Fund invests in and holds substantially all of its assets in long-term holdings of Bitcoin in order to provide Unitholders with a secure, convenient, lower-cost alternative to a direct investment in Bitcoin.
The world’s first Bitcoin (BTC) spot exchange-traded fund (ETF) is buying coins again after a month of sales.
Data from on-chain monitoring resource Coinglass confirms that on April 27, Canada’s Purpose Bitcoin ETF added 1,132 BTC to its holdings.
Despite fears that Bitcoin has yet to finish its correction, a 180-degree turn in Purpose points to a surge in institutional demand.
It is worth remembering that data from Cointelegraph Markets Pro and TradingView showed Bitcoin, the largest cryptocurrency, trading at $39,200 on Bitstamp up to 2.5%.
There were fresh woes on Tuesday as trading began on Wall Street, with Bitcoin following the stock downhill once again to hit $37,700 twice.
Although that area was already on the radar as a cash-hoarding opportunity, some were far from convinced the sale was over.
Nerves between crypto and traditional traders were evident and reflected in the drop in market sentiment.
The Crypto Fear and Greed Index hit its lowest level since April 12, which at 21/100 showed “extreme fear” driving the market.
Facts: Interest in Buying the Fall Soars
Starting on March 28, when the BTC/USD pair traded above $48,000, Purpose began reducing its exposure, which at the time stood at 36,321 BTC. The rise in holdings on Wednesday is thus the first since March 25.
At the time of writing, Purpose held 31,162.7 BTC, while the BTC/USD pair was trading at $39,000.
This move coincides with figures from statistics firm Santiment, which show that interest in “buying the dip” for both Bitcoin and altcoins is also on the rise.
Measuring what it calls “crowd interest,” Santiment posted the biggest uptick in “buy the dip” and “buy the dip” trends in six weeks.
“Social interest in buying the dip has skyrocketed after the latest crypto pullback,” comments accompanying Twitter summarize. “The SP500 correlation is not working in favor of the cryptocurrency sector, and mass fear will play a major role in the two markets breaking away from each other.”
Search Interest Declines
Other sources recording social interactions with the crypto sphere are less enthusiastic.
Google search data shows that global search interest in the word “Bitcoin,” for example, is at its lowest point since October 2020.
However, in what could be a sign of a bottoming phase for crypto markets, a bounce now could set the stage for the bullish launch that characterized the second half of Q4 that year.
As Cointelegraph reported, short-term sentiment fears the worst this week, with “extreme fear” compounding with voices calling for a return to $30,000.
By Audy Castaneda
