In the past few years, the demand for Bitcoin has shifted from institutional investors to individual retail investors. For years, the concept of a publicly traded corporation purchasing Bitcoin seemed too far fetched. Many people thought that the cryptocurrency was too volatile and too fringe to be accepted by serious business. Now, more institutions and retail investors are entering the market to take advantage of the booming price of Bitcoin. It’s also worth mentioning that Square, a payment processor that was founded in San Francisco, has invested $50 million in Bitcoin.
Despite the bearish sentiment, this time, the Bitcoin price has rebounded sharply. Compared to its lows in April and March, it’s now worth $111 billion. That’s about $7,000 per person. And it’s not just retail investors that are jumping on the cryptocurrency bandwagon. Wall Street investment firms, including Bank of America, are only holding about 6% of the Bitcoin market. This makes the US the top 10 country in terms of adoption.
There are many other big investors who have jumped on the Bitcoin bandwagon. Some of these institutions include Square and MicroStrategy. Some hedge funds are buying digital assets faster than they can be mined. In this article, we’ll look at a few of the institutional investors and Bitcoin. If you’re wondering, what are you missing? And how can you get in on this revolutionary trend? Keep reading to learn more!
Some companies have joined the bitcoin bandwagon, too. Tesla Inc.’s Elon Musk said that he purchased $1.5 billion worth of bitcoin in November to avoid losing money in the stock market. But other companies, like Square, have also gotten in on the action. The company says it’s the most valuable cryptocurrency and has a clear future value. In a white paper, the CEO of Square argues that bitcoin is the key to clean energy and a new, clean economy.
One of the major players in the crypto market is Elon Musk. Earlier this year, he said he had bought $1.5 billion of Bitcoins and would hold onto them. He also said that he had not gotten a return on his cash. After all, this is an investment in the future, not an investment in the present. So, the question is: Who’s buying bitcoin? What are the institutional investors are doing?
The answer to the question “who’s buying bitcoin?” Is a broader definition of the term. Some companies invest in Bitcoin, while others hold it for the long term. Other firms have a stake in it. Some of the biggest companies in the crypto space have invested in the cryptocurrency, but if the price doesn’t go up, they’re not making money. In order to make a profit, they have to invest in the cryptocurrency.
Aside from individuals, institutional investors are also buying Bitcoin. For example, MicroStrategy has bought a large number of bitcoins. However, it’s unclear what is driving this trend. The key is that the ‘whales’ are investing in the currency because of the low cost. They’re taking the risk, and aren’t just hoarding for the price. But it’s worth asking yourself the question: what are the investors doing with the cryptocurrency?
While the price of Bitcoin is rising, the total supply is increasing as investors’ confidence in it grows. There are more people who believe in Bitcoin and want to hold on to the digital currency in 2020. Aside from the retail investors, there are institutional investors that are buying the digital asset in huge amounts. Some of these people have been accumulating Bitcoins for years. But some of them have bought them as a last-minute gift.
It’s worth noting that major institutional investors are buying Bitcoin, too. Some investors have been acquiring cryptoassets for years. In the past, they were largely retail investors. Nevertheless, institutional investors have also been purchasing a large portion of Bitcoin. The value of the cryptocurrency has increased to over $111 billion, which is a new record. Moreover, there are also many individuals who are institutionalized.