Bicoin is soaring and made a new all-time high just above the $24,100 mark. And there is no end in sight.
On top of this, the institutional move into bitcoin is underway now. Large multi-billion dollar firms are now coming into the market. And it’s just getting started.
Insurance giant MassMutual announced last week that it had purchased $100 million worth of BTC. They also took a $5 million equity stake in New York Digital Investment Group, a digital asset management firm. MassMutual’s bitcoin purchases represent another milestone in the bitcoin adoption by institutional investors. One can see the potential demand that could arise over the coming years as other insurance companies and pension funds follow MassMutual’s example.
Guggenheim Investments, just filed permission to put up to 10% of their $5.3 billion macro fund into bitcoin. Scott Minerd of Guggenheim confirmed, based on in-house fundamental research, a long term price target of $400,000 for bitcoin.
Standard Chartered is launching a crypto custody service catering to institutional crypto buyers.
Bitcoin is only now becoming large enough for big institutional players to even pay attention to it. They couldn’t really buy without distorting the price before. Now, finally, the liquidity is there. And all the infrastructure is in place for custody, transfer and brokerage.
Is it too late to get in? Bitcoin just started a new bull market cycle. Long term, there is a lot more to come. It should become very interesting in the next few years.
Sven Franssen