When Bitcoin no longer swings wildly, Wall Street's investors finally dare to pour real money into it—this is no longer a casino, but a newly minted asset vault!
This insight from Matrixport is crucial, as it reveals the two core changes currently attracting large funds to Bitcoin:
Volatility Decreases (No More Wild Swings): Bitcoin used to fluctuate by over 10% in a single day, which was unbearable for those with weak hearts. However, in recent months, its temperament has clearly become 'milder' (though it's still more volatile than traditional assets). This is a huge boon for institutional investors! They manage billions of dollars, and their primary goal isn't to get rich overnight (though they would like to), but rather to not lose their clients' money. Lower volatility means risks are relatively controllable, making allocation much less stressful. Imagine asking a pension fund to buy something that could halve in value at any moment? That was impossible before! Now that volatility has decreased, they are at least willing to 'test the waters' a little.
Decoupling from U.S. Stocks (Watching the Winds of Change): In the past few years, Bitcoin often looked to the U.S. stock market, particularly following the Nasdaq (tech stocks). When U.S. stocks fell, it hesitated too. But recently, this 'younger brother' has been developing its own ideas! With U.S. stocks plummeting due to interest rate hikes and recession expectations, Bitcoin has often managed to stay steady, even strengthening against the trend. What does this indicate? Bitcoin is starting to develop its own independent market, with its own pricing logic! For institutions, this is simply a 'treasure attribute'—an asset with low correlation to traditional financial markets (stocks, bonds) is an excellent tool for diversifying investment portfolio risks and increasing potential returns. U.S. stocks crashed? My allocation in Bitcoin may still be earning (or losing less), which is the advanced play of 'not putting all your eggs in one basket.'
I believe these two changes are the key turning points for Bitcoin's 'mainstream institutionalization'!
Case 1: Think of MicroStrategy, why are they daring to go 'All In' on Bitcoin? Aside from faith, they must have conducted risk assessments. If Bitcoin were still experiencing the massive ups and downs of 2017, would the board of a publicly traded company approve such actions? The current volatility environment has given them (and many more cautious public companies) the confidence and justification to act.
Case 2: Why are traditional asset management giants like BlackRock and Fidelity pushing hard for Bitcoin spot ETFs? Their target clients are institutions and high-net-worth individuals! If Bitcoin were still that 'crazy teenager,' these giants wouldn't touch it at all. It is precisely the decrease in volatility and the enhancement of asset independence that have revealed a huge market for meeting clients' diversified allocation needs.
"Big institutions are sharpening their knives, how can small retail investors just sit idly by? Shen Ce asks you: Do you want to comfortably sit in first class on this wealth train heading towards 'Digital Gold 2.0,' or do you want to wait until it leaves before you start banging your thighs? Don't forget, in 2024, the halving script has yet to be performed!"
Follow the insights of Shen Ce, don't get lost on the road to wealth!#Strategy增持比特币 $BTC
