Research: If institutions put 1% of their funds into Bitcoin, the price of Bitcoin will easily reach $50,000

Crypto research firm Messari predicts that if institutions invest 1% of their funds in Bitcoin, the price of Bitcoin will easily reach $50,000.

In a series of tweets published on Wednesday, Messari research analyst Ryan Watkins discussed the possible institutional impact of legendary investor Paul Tudor Jones investing in Bitcoin.

He pointed out on Twitter that based on estimates of the asset management scale of global institutions, if institutions such as endowments, pension funds and mutual funds follow Paul Tudor Jones and invest a small amount of assets in Bitcoin, hundreds of billions or even trillions of dollars will flow into the crypto market.

Watkins used a model proposed by crypto researcher Chris Burniske, which predicts that the inflow of fiat money into crypto assets will lead to a 2-25x increase in price. If these institutions put 1% of their funds into Bitcoin, Bitcoin's market value would easily reach $1 trillion and the price would exceed $50,000.

Although he looks forward to the entry of institutional funds, Watkins still said that Bitcoin does not actually need institutional investment to succeed, and the rise in Bitcoin prices will eventually help the crypto asset become a store of value.

According to Bitpush, Paul Tudor Jones holds about 2% of his portfolio in Bitcoin. He encourages institutional investors to invest in Bitcoin to cope with inflation caused by central bank money injections.

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AuthorXiu Mu

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