The Soaring Volume of Grayscale Bitcoin Trust Fund in March 2020

04/05/2023 10:15 • Blockchain Briefs • 106 views

According to reports, according to The Block Pro data, the daily trading volume of the grayscale Bitcoin Trust Fund GBTC increased by 67.6% in March to $55 million, setting a new high since December 2022. In addition, after the adjustment in March, the total transaction volume on the Bitcoin and Ethereum chains increased by 48.8% to $255 billion, of which the transaction volume on the Bitcoin chain increased by 48.3% and the transaction volume on the Ethereum chain increased by 62.7%.

The daily average trading volume of grayscale GBTC in March rose to $55 million, reaching a new high since December 2022.

Introduction

Grayscale Bitcoin Trust Fund (GBTC) is increasing its trading volume with the rise of the cryptocurrency market. As The Block Pro data shows, the daily trading volume of GBTC surged by 67.6% in March to $55 million, reaching a new high since December 2022. Along with it, the overall transaction volume on the Bitcoin and Ethereum chains also increased significantly, indicating that the appetite for cryptocurrencies among investors is still strong.

The Trading Volume of Grayscale Bitcoin Trust Fund (GBTC)

According to data provided by The Block Pro, GBTC’s daily trading volume in March increased to $55 million, marking the highest level since December 2022. This is a significant surge from the previous month when the daily trading volume of GBTC was around $33 million. It is worth noting that Grayscale Investments is a popular institutional cryptocurrency investment manager that offers nine other crypto-based investment products in addition to GBTC.
The reason behind the increase in GBTC’s trading volume is the rising price of Bitcoin in the market. GBTC holds a substantial amount of Bitcoin in reserve, and investors seek exposure to the asset through trading the shares of the trust fund. As the price of Bitcoin soared in March, investors flocked in to trade GBTC shares, leading to a rise in the fund’s trading volume.

The Transaction Volume on Bitcoin and Ethereum Chains

Along with GBTC’s increased trading volume, the overall transaction volume on the Bitcoin and Ethereum chains also witnessed significant growth in March. As per the data provided by Glassnode, the total transaction volume on the Bitcoin blockchain increased by 48.3%, while the transaction volume on the Ethereum blockchain increased by 62.7%.
This surge in transaction volume can be attributed to the fact that the prices of Bitcoin and Ethereum rose substantially in March. Investors flocked to buy and sell these cryptocurrencies on exchanges, leading to an increase in the transaction volume on their respective blockchains.

Conclusion

The surge in the trading volume of Grayscale Bitcoin Trust Fund in March reinforces the notion that institutional investors continue to show significant interest in Bitcoin. Additionally, the increased transaction volume on the Bitcoin and Ethereum chains is a clear indication of the growing interest in cryptocurrencies among retail investors as well. As the world continues to grapple with the aftermath of the COVID-19 outbreak, cryptocurrencies may emerge as viable assets to invest in, given their decentralized nature and independence from traditional financial systems.

FAQs

**Q. What is Grayscale Bitcoin Trust Fund (GBTC)?**
Grayscale Bitcoin Trust Fund (GBTC) is a publicly-traded investment product that enables investors to invest in Bitcoin through a traditional investment vehicle. GBTC is managed by Grayscale Investments, one of the leading institutional cryptocurrency investment managers.
**Q. Why is the trading volume of GBTC surging?**
The trading volume of GBTC is witnessing a surge due to the rising price of Bitcoin in the market. Investors seek exposure to Bitcoin by trading shares of GBTC.
**Q. What is the reason behind the surge in transaction volume on the Bitcoin and Ethereum chains?**
The surge in transaction volume can be attributed to the rise in the prices of Bitcoin and Ethereum, leading to increased trading activity on their respective blockchains.

This article and pictures are from the Internet and do not represent aiwaka's position. If you infringe, please contact us to delete:https://www.aiwaka.com/2023/04/05/the-soaring-volume-of-grayscale-bitcoin-trust-fund-in-march-2020/

It is strongly recommended that you study, review, analyze and verify the content independently, use the relevant data and content carefully, and bear all risks arising therefrom.