Fears regarding the cryptocurrency markets are slowly abating. Although some feel the market may drop further, most believe that the bottom has either already been hit, or is quite close to doing so.
Crypto to Fiat and back again.
In recent weeks, it was noted that the prominent Canadian crypto hedge-fund, ‘Rivemont Crypto Fund,’ had most of its holdings in FIAT. Detractors jumped on this figure upon learning it. They pointed to the obvious fear and hesitation being felt towards the market. At that time, Rivemont issued a statement indicating holdings of 9.1% BTC, and 90.9% FIAT.
Since that period of time, we have seen a further market decline, despite some overwhelmingly positive news within the industry. These positive vibes – the creation of Bakkt, further Lightning adoption, and a flurry of patent filings – did not result in the bull market most hoped for.
Those at Rivemont remain unfazed. Obviously they feel as though market sentiment is changing. In their most recent holdings release, the fund has now indicated that they hold 19.4% BTC, 8.4% ETH, and 72.2% FIAT. This is a large swing from their previous market exposure levels.
Through the eyes of Rivemont
With BTC appearing to hold the $6000 USD barrier, Rivemont stresses that this level of support is crucial. In their most recent update the company stated, “After the rapid correction of the last two weeks, a rebound that could be described as technical rather than fundamental is predictable. This is also the action we can observe since Thursday. It is too early to know if this will translate into a rebound on the strong support around $ 6,000, or if it is only a temporary relief from the current trend. We expect to be patient and wait for a strong reversal confirmed by several clear signals before redeploying the fund’s assets.
It goes without saying that the support around $ 6,000 is crucial. A period of consolidation is normal and even desirable after the incredible rise seen in 2017. Any price above this threshold remains positive to our eyes for future price action.”
Who are they?
Rivemont, is an investment firm based out of Gatineau, Quebec. They were one of the first companies to launch a crypto based fund in December of 2017. Since that time, the company has given weekly written statements detailing their moves and views on market sentiment. The fund is actively monitored, and contains multiple cryptocurrencies.
- – Bitcoin (BTC)
- – Ethereum (ETH)
- – Litecoin (LTC)
- – Ripple (XRP)
- – Bitcoin Cash (BCH)
- – Ethereum Classic (ETC)
They are currently approved within Alberta, British Columbia, Ontario, and Quebec to act as portfolio managers. Although their fund is limited to these cryptocurrencies for the time being, they intend to expand their reach in time.
In the short period of time that the fund has been active, Rivemont has been able to lessen losses relative to Bitcoin. Since inception, Bitcoin has dropped 10.4% in value, while their fund has dropped 8.2% in value (as of July 31, 2018).