Chinese ban on cryptocurrencies did not deter institutional investors

Despite recent volatility in the market caused by China’s crackdown on cryptocurrencies, it seems that institutional investors treated last week's crypto market crash as a buying opportunity. Recent data from CoinShares revealed $95 million worth of inflows into digital asset products last week, marking a 126% weekly increase.

Digital asset investment products saw inflows totaling US$95m last week, bringing the total run of inflows over the last 6 weeks to US$320m. Source: CoinShares

Bitcoin saw the largest inflows of USD $50m. Bitcoin investment products have recorded an increase of 234% week-over-week. Meanwhile Ethereum recorded inflows totaling USD$29m last week which may indicate that institutional investors maintain a bullish stance towards the cryptocurrencies.

Bitcoin - bulls failed to stay above major resistance at $44,000, which is marked with the 38.2% Fibonacci retracement of the last upward wave, and price pulled back. Currently Bitcoin is testing an upward trendline which coincides with 50% retracement. Should break lower occur, then downward move may accelerate towards support at $40,700. On the other hand, if buyers manage to halt declines here, then another upward impulse towards aforementioned resistance at $44,000 may be launched. Source: xStation5