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Topic: Risks of instituations holding bitcoin - page 4. (Read 702 times)

full member
Activity: 896
Merit: 115
March 31, 2021, 11:45:28 PM
#35
institutional investors are increasingly playing a big role in the price propagation which one day they will also take profit just like everyone does. its a certainty that it will affect the market and may cause some little panic but it wont take long as usual before the market recovers.
legendary
Activity: 2044
Merit: 1018
Not your keys, not your coins!
March 31, 2021, 10:40:52 PM
#34
like i said on my previous post some institutions can sell anytime but this are the old institutions that already reach thier target but there are new institutions too so they wont sell all together therfore this dont cause heavy dips .
You can not predict when whales or institutes sell their bitcoin but two big things you can know of

- They won't invest in a few weeks or months. They are long term investors.
- They will sell but not in near future if they only invested into bitcoin in 2020.
- When they sell their bitcoin, price will be decreased because of news, analytics, drama but price of bitcoin won't be dumped to $10,000 or $20,000.
- Too low bottom price only be touched with serious drama relates to government regulations or serious stuffs in the society as the pandemic in March 2020. Fortunately, price will bounce back very powerful and governments will never be able seize bitcoin transactions, shut down the bitcoin network.
full member
Activity: 1750
Merit: 118
March 31, 2021, 09:56:50 PM
#33
some of them can sell anytime
It has to go up more before the institutions would sell, it barely step up to break ATH yet while they are coming into crypto. they are still consolidating phase, the more BTC they hold the higher the risk will be when one day they'd start dumping. there are a lot of influencers though stating that due to the adoption right now, it may not really be a big dump if there will be a bear market. a SUPER cycle of BTC bullrun is coming so they say.
I hope that the institutions will not sell Bitcoin in the near future or I hope that institution
will not sell Bitcoin at the same time with other institutions. In order to prevent massive dumps and create panic for other institutions.
like i said on my previous post some institutions can sell anytime but this are the old institutions that already reach thier target but there are new institutions too so they wont sell all together therfore this dont cause heavy dips .
sr. member
Activity: 1876
Merit: 318
March 31, 2021, 06:44:25 PM
#32
Before many institutions invested in Bitcoin, Bitcoin was still a high risk asset. So I am always prepared for all the risks that will occur
if the institution will sell Bitcoin in large quantities. But I believe that investment institutions in Bitcoin for the long term, even some
institutions continue to buy Bitcoin. So I believe the institution will be holding for at least the next 5-10 years. So with many institutions
holding Bitcoin, in my opinion, it is a good thing to be able to push the price of Bitcoin to continue to rise.
true . holding bitcoin is risky because it was the popular of all crypto but being popular also makes this coin safe and i think the op is talking to instituions that invest in bitcoin and not to us non institutional investors or if what will be the effect to us whenever insitutions sold btc  . there is more than one insitutions that invest in btc but they didnt do it to push the price up and some of them can sell anytime

This is what makes Bitcoin interesting, even though it is a risk of holding Bitcoin, there are still a lot of investors who buy Bitcoin. Even institutions
that must have financial advisors finally decide to buy Bitcoin. The conclusion, although risky, but because the demand is so high it makes Bitcoin
the safest choice compared to investing in other coins.

Another thing that makes institutions interested in holding Bitcoin is that the potential profit generated from Bitcoin is much higher than other
assets. So make institutions dare to take these risks, I hope that the institutions will not sell Bitcoin in the near future or I hope that institution
will not sell Bitcoin at the same time with other institutions. In order to prevent massive dumps and create panic for other institutions.
full member
Activity: 1750
Merit: 118
March 31, 2021, 05:44:57 AM
#32
Before many institutions invested in Bitcoin, Bitcoin was still a high risk asset. So I am always prepared for all the risks that will occur
if the institution will sell Bitcoin in large quantities. But I believe that investment institutions in Bitcoin for the long term, even some
institutions continue to buy Bitcoin. So I believe the institution will be holding for at least the next 5-10 years. So with many institutions
holding Bitcoin, in my opinion, it is a good thing to be able to push the price of Bitcoin to continue to rise.
true . holding bitcoin is risky because it was the popular of all crypto but being popular also makes this coin safe and i think the op is talking to instituions that invest in bitcoin and not to us non institutional investors or if what will be the effect to us whenever insitutions sold btc  . there is more than one insitutions that invest in btc but they didnt do it to push the price up and some of them can sell anytime
legendary
Activity: 3178
Merit: 1054
March 31, 2021, 08:03:08 AM
#31
Before many institutions invested in Bitcoin, Bitcoin was still a high risk asset. So I am always prepared for all the risks that will occur
if the institution will sell Bitcoin in large quantities. But I believe that investment institutions in Bitcoin for the long term, even some
institutions continue to buy Bitcoin. So I believe the institution will be holding for at least the next 5-10 years. So with many institutions
holding Bitcoin, in my opinion, it is a good thing to be able to push the price of Bitcoin to continue to rise.
true . holding bitcoin is risky because it was the popular of all crypto but being popular also makes this coin safe and i think the op is talking to instituions that invest in bitcoin and not to us non institutional investors or if what will be the effect to us whenever insitutions sold btc  . there is more than one insitutions that invest in btc but they didnt do it to push the price up and some of them can sell anytime

It has to go up more before the institutions would sell, it barely step up to break ATH yet while they are coming into crypto. they are still consolidating phase, the more BTC they hold the higher the risk will be when one day they'd start dumping. there are a lot of influencers though stating that due to the adoption right now, it may not really be a big dump if there will be a bear market. a SUPER cycle of BTC bullrun is coming so they say.

sr. member
Activity: 1876
Merit: 318
March 31, 2021, 04:45:54 AM
#30
Before many institutions invested in Bitcoin, Bitcoin was still a high risk asset. So I am always prepared for all the risks that will occur
if the institution will sell Bitcoin in large quantities. But I believe that investment institutions in Bitcoin for the long term, even some
institutions continue to buy Bitcoin. So I believe the institution will be holding for at least the next 5-10 years. So with many institutions
holding Bitcoin, in my opinion, it is a good thing to be able to push the price of Bitcoin to continue to rise.
legendary
Activity: 2464
Merit: 2094
March 31, 2021, 03:57:02 AM
#29
I would rather agree to say that institutional investors tend to invest in and hold their bitcoin over the long term. But do not rule out that they will come out slowly by selling a small portion of the bitcoin they have. It will take them a long time to sell all of the bitcoin if they don't want the market to become bearish.
Institutional investor can be seen as proponent of bitcoin stability so as not to be dump on a large scale because as long as they are willing to hold it in the long term, other investors' confidence will likely grow because of it. I believe that the risk has increased during the bull market, but that investor is a strong supporter who will influence other investor not to panic when the market correction occurs.
hero member
Activity: 854
Merit: 506
March 31, 2021, 03:32:40 AM
#28
I came across this article about  instituations holding bitcoin what do you think, is it a risk what is your opinion ?
https://cryptonews.com/exclusives/institutions-retail-compete-for-bitcoin-which-is-the-biggest-9695.htm
Institution buyers can influence the market. Because they buy and hold large quantities, they can fall the price if they sell or also give rise of they buy.
I believe for betterment of crypto, we need both retail and institutional buyers.
Soon btc will become so scarce that anyone having it will not consider selling it.
full member
Activity: 379
Merit: 168
March 31, 2021, 02:31:56 AM
#27
I do not believe those institutional investments are being made aiming holding for some time and selling for profit like most individual investors do. I don't think they all can at one moment sell their bitcoins, they are smart enough not to do that. I believe they now can see the potential of bitcoin and it can be only payment method in the future. Concept of bitcoin is too good for not being ignored by big players. No central control, no middleman, no fees (almost), no footprints (almost).
hero member
Activity: 2268
Merit: 588
You own the pen
March 31, 2021, 01:11:40 AM
#26
That would ruin the current price of BTC if they start to sell it at once but the price will not fell into deep again when there will be no other holders will follow their footstep. If those holders will also be sold their BTC at once, then we will gonna experience another bearish trend again which will make the price return to more than 10$ or less than that. In other words, institutions like that cannot be firm with their resolution of holding BTC if you just came up with an idea to hold your BTC just like those guys, then forget it because as soon as they see some opportunities they will grab it as fast as the sport car hitting on the free road.
full member
Activity: 2520
Merit: 204
March 31, 2021, 01:08:14 AM
#25
Many people concerned regarding institutional investors holding too much bitcoin and somewhat centralizing it but we shouldn't also forget that it's maybe them who make this year bullrun could hold on for long. It was game of pump and dump before and now after massive adoption and institutional investors getting in the whole crypto market grow so fast and slowly dominate the internet more specifically in term of payment method. They also won't make an amateurish step as dumping their crypto asset altogether I believe.
Well no one can tell, They might be waiting for the right timing ? since they are still buying these days and still no sign of dumping?
or they are a real investors and holders that will keep the coins for their Business use in  the future and not just Pumping and dumping purposes?
no matter what they Do one this is for sure , bitcoin already reached the peak for this year and if there is a chance of dumping , Well i understand because i already made a Good amount of profit since last year up to now.
legendary
Activity: 1372
Merit: 2017
March 31, 2021, 01:05:31 AM
#24
Lately I see many people concerned about this issue. I am not worried at all. On the contrary, thanks to these institutions there is no turning back. They have put pressure on the demand side driving the price higher, they are making it easier for the masses to buy/use Bitcoin, in short, we owe the triumph in this cycle to them.
hero member
Activity: 3164
Merit: 937
March 31, 2021, 12:58:17 AM
#23
I came across this article about  instituations holding bitcoin what do you think, is it a risk what is your opinion ?
https://cryptonews.com/exclusives/institutions-retail-compete-for-bitcoin-which-is-the-biggest-9695.htm

Nope,the institutions are HODLing Bitcoins for a long term time frame,which means that they aren't interested in mass selling their BTC and crashing the Bitcoin price,which will cause them financial damage.
A way more bigger risk is how the government will treat financial institutions,that are mass buying BTC.
If the government decides to punish such institutions for buying BTC,they will try to get rid of their Bitcoins as fast as possible,which will create panic selling.
sr. member
Activity: 1624
Merit: 315
Leading Crypto Sports Betting & Casino Platform
March 31, 2021, 12:45:32 AM
#22
The risk is if there is a very bad news about bitcoin resulting for thse institutions to sell all their holdings. Even one institution selling could be a big impact to bitcoin's price. This could become a catalyst for other institutions to sell also causing retailers to panic sell. Most of us invested in bitcoin because its speculated price in the future could give us big return, this is also part of the goal why those institutions invested. The question is when will they sell or what is their primary goal for investing in bitcoin.
If that were to happen, I think that these institutions will be in too deep to just abandon everything in bitcoin because they know that when they do so, they will cause waves but in the long term those waves will wane and the next price pump, they can't do anything about it because they sold everything just because of a bad news.
legendary
Activity: 3010
Merit: 1028
Leading Crypto Sports Betting & Casino Platform
March 31, 2021, 12:17:01 AM
#21
Many people concerned regarding institutional investors holding too much bitcoin and somewhat centralizing it but we shouldn't also forget that it's maybe them who make this year bullrun could hold on for long. It was game of pump and dump before and now after massive adoption and institutional investors getting in the whole crypto market grow so fast and slowly dominate the internet more specifically in term of payment method. They also won't make an amateurish step as dumping their crypto asset altogether I believe.
hero member
Activity: 2366
Merit: 594
March 31, 2021, 12:16:37 AM
#20
The risk is if there is a very bad news about bitcoin resulting for thse institutions to sell all their holdings. Even one institution selling could be a big impact to bitcoin's price. This could become a catalyst for other institutions to sell also causing retailers to panic sell. Most of us invested in bitcoin because its speculated price in the future could give us big return, this is also part of the goal why those institutions invested. The question is when will they sell or what is their primary goal for investing in bitcoin.
hero member
Activity: 2912
Merit: 541
Leading Crypto Sports Betting & Casino Platform
March 30, 2021, 11:38:26 PM
#20
I think the institutions know about the risk behind bitcoin and I am sure they already calculate and analyze the risk and know how to prevent that risk. They will not sell their bitcoin because the price is down, but they will use the moment to buy more bitcoin with their money. But we do not know who are they and how strong they can hold bitcoin because this time, the investor will be different than the previous years.
legendary
Activity: 2576
Merit: 1860
March 30, 2021, 11:12:49 PM
#19
How many institutional investors are actually creating innovations which would help Bitcoin be widely acceptable as a real world currency? How many of them are simply promoting Bitcoin as a way to store their wealth away from a decaying fiat? These institutions have existing businesses. Are they integrating Bitcoin into their systems?
I guess Paypals there, even though, well, it's like that. Looked around and saw that they finally implemented the direct conversion of their accepted crypto to the currency the merchant accepts.
https://www.theverge.com/2021/3/30/22357246/paypal-buy-with-bitcoin-litecoin-ethereum-crypto-checkout

Yeah, I've heard of this. This is a nice update of PayPal's policy towards crypto. I somehow expected this, but this is not yet the way we want PayPal to treat crypto. PayPal does not still allow users to withdraw and deposit crypto. PayPal does not still pay its merchants in crypto. PayPal is still a world of its own right now. PayPal crypto owners do not yet own their crypto funds.

I also heard that Tesla is now beginning to accept Bitcoin as payment.

How about the others?
legendary
Activity: 3318
Merit: 1133
Leading Crypto Sports Betting & Casino Platform
March 30, 2021, 10:44:52 PM
#18
I believe in this.
Quote
In fact, institutions are likely to be more of a stabilizing influence on the bitcoin market than retail traders, many of whom used leveraged trades and aren’t able to absorb dips to the same extent as big funds and corporations.
They can create stability to hold bitcoin down from being dumped too much by old whales.
There will always be the scare when they are selling (manipulating) knowing corporations are also keeping a huge chunk of Bitcoin or worse their share will be taken away giving them a difficult time to buy back.

I'm more worried about banks. I bet they are losing profits now when investors are switching to buying Bitcoin themselves rather than investing it in mutual funds with banks as middleman.
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