I read the article. He said that they bought 200k btc... that's ... literally interest by institutional investors.
I think that it's actually a good investment technique to buy in after you see a market go bullish, rather than be bearish. So the institutions are just entering the game now that they see there's an ROI to be made.
It sounds like a really bad game plan, but they probably looked at BTC history and figured that a pump is a good way to invest.
Topic: Institutional Demand for Bitcoin and Crypto Resurges - page 2. (Read 291 times)
I'm not sure there's really a surge in demand from institutional investors. We're hearing about them all now, for sure, but read deeper and you realise that they already entered the market a while ago - last year most likely, through their hedge fund managers and associated funds. They're probably the ones who largely made Bitcoin the crazy "investment asset" that it was end of last year. They probably also shorted it all to lock in profits, causing the recent slump. And they're probably making public their "new" investments to time their dip buys nicely for more profit.
Think about it. These are guys who pay other guys to tell them what's on the horizon. They'd have heard of Bitcoin long before its 4k mark, and they're not the kind to buy now when everyone else has had their fill.
It's not as straightforward though. What you describe may be true for family offices, for example, but isn't true for institutional investors like say pension funds. They have very strict mandates on what they are allowed to invest in, and opening up a new asset class with questionable custody solutions is definitely not an easy sell. Think about it. These are guys who pay other guys to tell them what's on the horizon. They'd have heard of Bitcoin long before its 4k mark, and they're not the kind to buy now when everyone else has had their fill.
If there is a large institution interested in bitcoin it is very good and will definitely have a good impact or rise again on the bitcoin at this time and in the future.
I'm not sure there's really a surge in demand from institutional investors. We're hearing about them all now, for sure, but read deeper and you realise that they already entered the market a while ago - last year most likely, through their hedge fund managers and associated funds. They're probably the ones who largely made Bitcoin the crazy "investment asset" that it was end of last year. They probably also shorted it all to lock in profits, causing the recent slump. And they're probably making public their "new" investments to time their dip buys nicely for more profit.
Think about it. These are guys who pay other guys to tell them what's on the horizon. They'd have heard of Bitcoin long before its 4k mark, and they're not the kind to buy now when everyone else has had their fill.
Think about it. These are guys who pay other guys to tell them what's on the horizon. They'd have heard of Bitcoin long before its 4k mark, and they're not the kind to buy now when everyone else has had their fill.
True. Most institutional investors would have limited appetite for cryptocurrencies, unless it is a crypto-specific fund. What would really lead to an increase in demand is regulatory changes which makes Bitcoin palatable to investors. There is only so much that price drops can do, especially when nobody can agree on a "fair value" for Bitcoin.
Looks like institutional investors believe they are going to see a big return
for their investment. Looks like they are hoping for at least a +60% return.
Im happy to see the positive belief
for their investment. Looks like they are hoping for at least a +60% return.
Im happy to see the positive belief
I'm not sure there's really a surge in demand from institutional investors. We're hearing about them all now, for sure, but read deeper and you realise that they already entered the market a while ago - last year most likely, through their hedge fund managers and associated funds. They're probably the ones who largely made Bitcoin the crazy "investment asset" that it was end of last year. They probably also shorted it all to lock in profits, causing the recent slump. And they're probably making public their "new" investments to time their dip buys nicely for more profit.
Think about it. These are guys who pay other guys to tell them what's on the horizon. They'd have heard of Bitcoin long before its 4k mark, and they're not the kind to buy now when everyone else has had their fill.
Think about it. These are guys who pay other guys to tell them what's on the horizon. They'd have heard of Bitcoin long before its 4k mark, and they're not the kind to buy now when everyone else has had their fill.
Of course these investment companies are always looking for the value of their money. With Bitcoin more than 60% off it current all time high this would be considered as a discounted price. On the other thought this financial institutions don't really need a good entry point to begin with, with the amount of capital they have they could even push the price of Bitcoin from 20,000$ to 25,000$, there money always don't lay sitting in long positions. Who know maybe they are playing Bitcoin right now.
I agree with you. People can start using bitcoins at any time regardless of the price. Bitcoin has great prospects and its price is still very far from the maximum. But I want to remind you that the income from rising prices will not always be. The main purpose of bitcoin is to build an independent society and economy. therefore, I will use bitcoins even when the price reaches the maximum.
Of course these investment companies are always looking for the value of their money. With Bitcoin more than 60% off it current all time high this would be considered as a discounted price. On the other thought this financial institutions don't really need a good entry point to begin with, with the amount of capital they have they could even push the price of Bitcoin from 20,000$ to 25,000$, there money always don't lay sitting in long positions. Who know maybe they are playing Bitcoin right now.
Reports are increasingly indicating that bitcoin’s recent drop of 70% from its December record highs of nearly $20,000 has spurred a renewed interest in the BTC and cryptocurrency markets from institutional investors.
Read more: https://news.bitcoin.com/institutional-demand-bitcoin-crypto-resurges/
Read more: https://news.bitcoin.com/institutional-demand-bitcoin-crypto-resurges/
Jump to: