Bitget, a 250% increase in deposits following Bitcoin ETFs

Investors are returning to the Bitget exchange platform in droves, attracted by recent developments in Bitcoin ETFs. According to a study conducted by Bitget, the total volume of digital assets deposited has jumped by 250% over the past four months.

Note: This article is with our partner Bitget. It does not constitute investment advice. As always, only invest what you can afford to lose.

Crypto asset deposits explode

The exchange Bitget recently published a detailed study on the use of custodial portfolios in the crypto market. This study reveals crucial statistics concerning investor behavior and market dynamics.

According to data collected from third-party custodian accounts, launched in August 2023, in partnership with digital asset custody providers such as Copper and Cobo, the results speak for themselves.

In fact, the total number of accounts has almost doubled since November. Almost 43% of account holders make deposits to seize opportunities. In total, 77% of accounts are mainly used for short-term purposes.

This explosion in volumes deposited is directly linked to the anticipation of the approval of the first Bitcoin ETFs in the United States, followed by the craze generated by their approval on January 10. In the space of a month, Bitcoin ETFs have drained more than $4 billion, a trend that shows no signs of stopping.

Other factors, such as the growing adoption of cryptos in everyday life and the search for a safe-haven asset in the face of the geopolitical tensions, have also contributed to this phenomenon. Macroeconomic and geopolitical factors are prompting users to turn to cryptos as a safe haven to protect their savings.

Short-term storage to profit from volatility

The study also shows that short-term storage is the main motivation for new users. Those holding more than $100,000 in their account generally do so for less than three months, seeking to profit from market fluctuations.

This predominance of the short term was confirmed in November when trading volumes surged, prompting new investors to open accounts to take advantage of increased market volatility and speculate on the short term.

With the bullish potential linked to ETFs and the high volatility of cryptos, Bitget has established itself as a preferred platform for short-term trading and speculation on market fluctuations, as evidenced by the 250% increase in deposits on the platform.

All in all, Bitget’s study highlights the decisive role played by Bitcoin ETFs in the latest surge of interest in cryptos. If investors’ bullish expectations materialize, as this craze suggests, this trend could be only in its infancy.