Bitcoin has plummeted from its peak of over $126,000 last month to $105,000, and even briefly dipped below the $100,000 mark last week. (Reuters)
![图片[1]-Why are wealthy individuals and professional investors still planning to buy more Bitcoin despite its sharp decline?-OzABC](https://www.ozabc.com/wp-content/uploads/photo.webp)
Bitcoin has fallen from its peak of over $126,000 last month to $105,000, and even briefly dipped below the $100,000 mark last week. However, Morgan Stanley says that cryptocurrencies are no longer just speculative assets, and the four-year upward cycle driven by abundant capital supply, supported by professional investors and wealthy investors, is not yet over.
A recent survey by Sygnum, a Zurich-based company that claims to be the world’s first regulated digital asset bank, found that 61% of the more than 1,000 high-net-worth individuals and professional investors surveyed across 45 countries intend to increase their holdings of cryptocurrencies.
The survey found that these investors are uncertain about their cryptocurrency allocation outlook for the fourth quarter and 2026, given that the market capitalization of crypto assets evaporated by approximately $500 billion in October, leading them to hold a “neutral” or even “negative” view of the short-term outlook.
However, in terms of its value storage function, respondents believe that Bitcoin is still superior to other tokens, mainly based on its first-mover advantage, and also reflecting the market’s general concerns about inflation, de-dollarization and high sovereign debt.
Besides some unease about softening prices and weakening momentum for asset diversification, Sygnum’s report also shows that investors using active management strategies will see increased inflows into cryptocurrency ETFs under two conditions: 1) allowing staking, where users are rewarded for depositing a certain amount of cryptocurrency on their blockchain network; and 2) direct token investing becoming popular.
Morgan Stanley analysts pointed out that Trump’s election victory last year was a watershed moment for cryptocurrency assets to become mainstream, fundamentally changing how investors view crypto assets. In addition, Trump 2.0’s deregulation after taking office, especially the implementation of the “Genius Act” which established cryptocurrency as an “investable asset class,” has made digital asset investment popular.
Morgan Stanley analyst Galindo points out that most investment interest is currently focused on Bitcoin, but some investors have recently become curious about the launch of stablecoins.
Another analyst, Crippled, believes that the launch of cryptocurrency ETFs has improved accessibility and investment convenience, which is a key factor. He mentioned that well-known investment firms such as BlackRock, Fidelity, and Invesco have launched ETFs, which has expanded the cryptocurrency ETF investment pool to $200 billion, with $40 billion expected to flow in in 2024 alone.
Galindo stated that cryptocurrencies are still in their early stages as an asset class, and investors can currently be divided into three main categories: those who view Bitcoin as digital gold, those who see Bitcoin as “venture capital…with a disruptive innovation flavor reminiscent of the tech industry,” and those who value Bitcoin as a portfolio diversification tool (because it is decoupled from other assets).
Galindo anticipates that cryptocurrencies are currently in a four-year bull cycle, typically coinciding with global M2 money supply trends. He believes Bitcoin may be nearing the end of this four-year cycle and is therefore facing a consolidation period, as evidenced by the recent price pullback.
感谢您的支持
