- BlackRock CEO Larry Fink said the firm witnessed low interest in Bitcoin from investors.
- He further noted that investors might not come to the asset manager for exposure to the leading cryptocurrency.
- The lowered interest in the bellwether digital asset could be due to the consolidation in Bitcoin price.
Investment management giant BlackRock has recently stated that investor demand for cryptocurrency has subsided.
Bitcoin not on BlackRock investors’ agenda
In a CNBC interview, institutional asset manager BlackRock CEO Larry Fink said that there is not much demand for cryptocurrencies.
In 2018, Fink stated clients were not interested in digital asset exposure. However, the CEO noted an increase in business media attention around Bitcoin and even said that the leading cryptocurrency could be an alternative store of wealth.
BlackRock started investing in Bitcoin futures earlier this year, with an SEC filing revealing that the firm held 37 BTC futures contracts in January.
The investment giant’s manager chief investment officer Rick Rieder disclosed in February that BlackRock has started to “dabble a bit into” the bellwether cryptocurrency. Rieder further suggested that investors allocate a portion of funds into digital assets from cash holdings, although he did not specify a threshold.
Despite previously mentioning that cryptocurrencies could become a significant asset class, Fink said that the asset manager is now seeing lowered investor demand for the leading digital asset. He added:
We see very little in terms of investor demand on those types of things, but quite frankly [they] may not come to BlackRock for that type of demand.
Fink concluded that the corporation’s investors are more geared toward building long-term returns over an extended period of time and that Bitcoin is not a part of “those conversations.”
Bitcoin price dip saved by buy signal
Bitcoin price has been sealed within a descending parallel channel which has started to emerge in late June. BTC has formed lower highs and lower lows, which connect the upper and lower boundary of the chart pattern on the 12-hour chart.
Despite recent weakness pushing Bitcoin price toward the downside trend line of the slightly bearish pattern, BTC slightly rebounded after the asset was given a buy signal from the Momentum Reversal Indicator (MRI), indicating a local bottom.
BTC/USDT 12-hour chart
Bitcoin price recovered by 3.7% from the swing low, as it tested the 78.6% Fibonacci retracement level at $31,450 as support.
Now, the middle boundary of the descending parallel channel has become resistance, and only a close above this level at $32,844 would hint at a $730 climb for BTC, tagging the 61.8% Fibonacci retracement level, which acts as the next obstacle coinciding with the 50 twelve-hour Simple Moving Average (SMA).
However, given the governing technical pattern, Bitcoin price is likely to consolidate further, and BTC could retest of the aforementioned 78.2% Fibonacci retracement level if buyers are unable to lift prices higher against the distribution of the sellers.
