GSR Shifts Portfolio Allocation in Response to Weaker Crypto Market Activity

GSR, a quantitative investment firm, has adjusted its Core3 model portfolio by increasing Bitcoin exposure while reducing its Ether allocation. The move comes as digital asset markets continue to struggle with weaker trading activity and lower volatility.

The Core3 model portfolio tracks the performance of Bitcoin, Ether, and Solana using GSR's proprietary investment signals. As of August 5, Bitcoin represented 19.3% of the allocation, while Ether held the largest share at 44.1%, followed by Solana at 36.5%. However, year-to-date performance remained negative across all three assets, with Bitcoin falling 24.82%, Ether declining 35.49%, and Solana dropping 40.21%.

GSR's Core3 model portfolio lost 57.78% over the past year, underperforming an equal-weight basket that declined 49.84% during the same period. The firm attributed the changes in its portfolio to stronger forward-looking signals for other assets within the model, despite Ether still leading 30-day performance.

The Bitcoin price faces key resistance near $67,000, a level that traders continue to monitor closely. A move above this level would establish a higher daily high and shift the market structure into a more bullish trend on the daily timeframe. On the other hand, the $60,000 level remains the major support on the higher timeframe.