Connect with us

Bitcoin

Bitcoin [BTC]: US Pension Funds To Support $40M Bitcoin Venture Fund, says Morgan Creek Digital CEO

Biraajmaan Tamuly

Published

on

Bitcoin [BTC]: US Pension Funds To Support $40M Bitcoin Venture Fund, says Morgan Creek Digital CEO
Source: Pixabay

The idea of cryptocurrency’s union with major financial institutions took another major step forward with the announcement that Morgan Creek Digital has initiated the launch of a $40 million cryptocurrency venture fund which will be supported by two prominent public funds. This recent development will mark the first-ever involvement of U.S. pension funds in the virtual currency ecosystem.

Anthony Pompliano, the founder of Morgan Greek Digital recently made the announcement on social media.
He tweeted,

Source: Twitter

According to the announcement, the two largest investors in the multi-million cryptocurrency fund are the Fairfax County Employees and Fairfax County Police Pension Plans.
The two pension funds manage an asset portfolio with a combined net worth of a whopping $1.2 billion dollars. They have also become the first public retirement fund to invest in virtual assets, setting a new milestone in the crypto industry.

According to reports, the importance of these two public pension funds taking this huge step forward can potentially have profound ramifications for the cryptocurrency ecosystem.

Even though there is no public disclosure of the investment terms, Anthony Pompliano did clearly hint that the fund will be for a legitimate special purpose vehicle [SPV]. The reports further indicated that apart from equity investments in crypto-based companies, the fund will retain a portion of its value in major cryptocurrency, favourably Bitcoin.

The rumour mills regarding public pension funds becoming lenient towards the idea of investing in virtual assets started circulating when CNBC news announced the possibility in April of last year.



The founder of Morgan Creek Digital also rallied public pensions to invest and promote the idea of blockchain space with a blog, in which he indicated that Bitcoin has the potential and capability to save the US from its forthcoming pension issues which he termed as an “impending US pension crisis.”

Talking about institutional interest in the industry at a recent Bloomberg interview, he mentioned,

“There’s a belief in the institutional world that if the industry will be around for a long time, it will be very valuable. The smart money is not distracted by price but looks at the long-term trends, and believes they’re betting on innovation as a great way to deliver risk-mitigated returns.”





Subscribe to AMBCrypto’s Newsletter




Follow us on Telegram | Twitter | Facebook



Biraajmaan is an engineering graduate who is exploring the ever-changing crypto verse while traversing his passion for cryptocurrency news writing. He is a Chelsea fan and a part-time poet and does not hold any value in cryptocurrencies yet.

Bitcoin

Bitcoin [BTC] surges above $5,500 and breaks major resistance level; collective market rises

Avatar

Published

on

Bitcoin [BTC] surges above $5,500 breaking major resistance level; collective market surges
Source: Pixabay

Bitcoin [BTC] broke out of its sideways trend that saw coins fall after a brilliant start to April. This “break-out” is especially significant since it came days after the coin was trading sluggishly, pulling the market cap below $175 billion.

After breaking the $5,200 level on April 16, the coin held steady, showing no noticeable dips. However, it also began losing the momentum it had gained when it rose by 15 percent on April 2. Many saw the past week as Bitcoin losing steam, opining that a drop to as low as $4,000 would manifest. This pessimism coupled with the delisting dilemma saw the global market decline by 3.31 percent over the past weekend.

Given this backdrop, the present Bitcoin price incline was even more bullish for the collective market. Further, this was not just an effort to shrug off “sideways bears,” but instead, two key levels were broken in order to usher a collective market rise and sustain BTC bullishness.

Source: Trading View

RESISTANCE

The first, as indicated by eToro’s senior market analyst Mati Greenspan, was the resistance level of $5,350. When Bitcoin began to consolidate following the early April high, Greenspan stated that if the BTC price were to punch above the aforementioned level, it “would likely serve as confirmation that we’re pushing higher and will lead to further buying pressure.”

Greenspan stated that the $5,350 level acted as a major support level throughout 2018. Hence, it is incredibly important that Bitcoin surge above it in the next rise to consolidate buying pressure. Another important point to signal the coming of a bullish market was the 200-day moving average which Bitcoin has stayed above since the April 2 rally.

PSYCHOLOGY

The other significant level for the collective market is Bitcoin’s ascendance over $5,500, which it managed courtesy of this rally. Many, including Greenspan, pegged $5,000 as a key psychological level for the coin and hence, the rise above $5,500 less than three weeks after $5,000 was broken will bring back optimism to the BTC market.



Further, as was seen in the April 2 rise, the Bitcoin pump resulted in the king coin increasing its market dominance. At the close of March, Bitcoin was edging closer to losing the majority. However, the rally saw its share increase to 52.4 percent within a day. Following this recent 4.61 percent increase against the US Dollar, the king coin’s dominance increased to 53.2 percent.

Given the elasticity of the collective market to changes in Bitcoin’s price, the market was awash in green as Bitcoin broke the resistance and psychological levels. Amid this bullish charge, some coins stood out for their above-average gains, which included Bitcoin Cash [BCH], Cardano [ADA], EOS [EOS], Litecoin [LTC], and the exchange-ousted Bitcoin SV [BSV].





Subscribe to AMBCrypto’s Newsletter


Continue Reading

Trending