Not only the funds from the US stock market, but even American retirement funds are preparing to flow into the crypto space.
Trump signed an executive order allowing retirement funds to be included in investment portfolios.
In Taiwan, this is referred to as labor retirement,
The difference is that Taiwan's labor retirement is managed by the government,
While in the US, 401K accounts are privately managed by companies.
In the past, private retirement funds (401K) in the US could only:
1. Be contributed by employees and employers together.
2. The money would be used to buy stocks, bonds, ETFs.
3. Be limited to traditional assets.
Now, with the relaxation of regulations, management companies can legally allocate funds,
This means that a huge amount of money will flow directly into Bitcoin ETFs, Ethereum ETFs, and so on.
Typically, after a policy decision, the funds do not immediately react in the market and need two to three months to ferment.
If this retirement fund increases its holdings,
Coupled with various institutional entries into the US stock market and the large liquidity injection from US interest rate cuts,
The subsequent rise in the crypto space will indeed be quite dramatic.
This aligns with my expectation of a major bull market in the crypto space in the second half of the year.
