BlockBay Capital portfolio update July 2021

BlockBay Capital portfolio update July 2021
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The BlockWealth portfolios achieved a positive return of around +13% in July.

Bitcoin (+18%) and Ethereum (+11%) profited from two months of improved sentiment.

Bitcoin ended the month July at a price of $41,600. The bottom in July was even below $30,000 on July 20th. A trigger for another rally were rumors that Amazon intends to accept cryptocurrency. However, this rumor was later denied by Amazon. A job posting shows that Amazon is in the process of putting together a blockchain and digital currency team. Amazon is the next big tech company (after Facebook and Twitter) to get involved with blockchain. Elon Musk added to the positive sentiment by indicating that Tesla will resume most likely with accepting Bitcoin payments for electric cars in the future.

Ethereum also had a good month towards the new upgrade on August 4th. The upgrade provides a better user experience. In addition, with every transaction a little bit of Ether is burned. The network will become less inflationary and with intensive use may even use deflation. The scarcity on the Ethereum network will continue to expand. In addition to the four-year halving of the Bitcoin fee for miners, it is interesting to see whether this Ethereum upgrade will have an impact on the price.

Fidelity Digital Assets, the cryptocurrency arm of a major US investor, has conducted a global survey of 1,100 institutional investors. This shows that 70% of the institutional investors expect to invest in cryptocurrency directly or in cryptocurrency companies in the short term. There are also regional differences, Asian investors are currently the most active transactions that US and European investors are quickly catching up. Most cited reasons for not investing in cryptocurrency are price volatility, concerns about market manipulation and a lack of understanding value fundamentals.