Major financial institutions will begin accepting Bitcoin, according to Bernstein
Global asset management firm Bernstein believes that Bitcoin (BTC) and related companies are undervalued and ready for institutional adoption.
By Bernstein claim , that according to crypto bears, trading in spot Bitcoin exchange-traded funds (ETFs) is falling as most of the early allocations are from retail investors and that most of the institutional demand is for “basic cash-and-carry trade” and not for new net long positions.
The bank's analysts said:
While this is true, we believe that Bitcoin ETFs are on the cusp of acceptance in major banking institutions and major private banking platforms in the third/fourth quarter.
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Bitcoin has lost momentum, but that doesn't mean the end of the bull market"Institutional basis trading appears to be the "Trojan horse for adoption" and these investors are now valuing net long positions as they feel more comfortable with improving ETF liquidity", the authors also claim.
The report states that the influx of Bitcoin ETFs to accelerate in the third and fourth quarters, and the next stage of adoption will be driven by large advisors endorsing ETFs as well as allocation reserves from existing portfolios.
The broker expects the flagship cryptocurrency to rise to a cycle high of around $200,000 by 2025, $500,000 by 2029 and $1 million by 2033.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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