Morgan Stanley is considered the third-largest wealth management institution in the United States. The firm recently becomes the center of attention and discussion after the facts from its new SEC filing came to light. The financial giant has decided to diversify its investment portfolio with cryptocurrencies contracts. Many institutions believe that Bitcoin has a great potential to perform in the ongoing bull run.
Following the same impression, the experts at Morgan Stanley have decided to invest their money into GBTC shares by Grayscale Bitcoin Trust. As per the reports by several financial media outlets, MS has invested an amount of $40 million into GBTC. The purchase coincides with the time when the GBTC shares are about to unlock in the present week.
Unlocking GBTC Shares may Introduce Bearish Impact in the Crypto Market
Some investors and analysts believe that the upcoming GBTC shares unlocking is going to create a bearish impact on Bitcoin. However, market surveys conducted recently indicate that most of the institutions believe that Bitcoin has a chance at gaining a six-figure evaluation before the end of the current year. Due to the dominantly positive sentiment, many institutional investors like Ark Invest and JP Morgan have also invested in GBTC shares.
With the help of GBTC shares, the investment vehicles can provide the institutional investors who are accredited to get indirect exposure into the Bitcoin market. Morgan Stanley is among the first commercial entities to start purchasing Bitcoin. On account of the solid performance and goodwill of the bank, this move has also increased the trust level for Bitcoin as an asset class commodity.
Willy Woo is a cryptocurrency market analyst, chartist, and investor. Commenting on the impact of GrayScale Bitcoin Shares unlocking this week, he made some comments. In a new tweet, he claimed that he does not agree with the notion that Bitcoin price movement is heading towards a bearish correction. He further added that most traditional investors have been thinking that Bitcoin is going to crash due to the increased amount of selling pressure.
However, he claimed that such is not the case and since other institutions recognize that they are going to keep acquiring more Bitcoin. After this week, the next round of GBTC shares unlocking is set for 2022. There is a greater chance that institutional investors like Morgan Stanley are going to keep investing in Bitcoin until the next scheduled event.