Wall street advisor says that investors should put a few percent into BTC which is a growing narrative over the past few months after the introduction of institutional capital in the BTC space just once Paul Tudor Jones invested into BTC futures as we reported in our bitcoin news.
Jones did this to prepare for the May halving saying that Bitcoin’s scarcity will become the “fastest horse in the race” in a world of rampant inflation. Plenty of other investors on Wall Street followed Jones’ lead. A lot of macro investors that are known for making bets on crypto and BTC have joined the Bitcoin bandwagon and family offices as well started making allocations as they look to diversify other overvalued assets but not all of Wall Street is keen on BTC.
Fidelity Investments has more than $3 trillion in assets under management which is three times the market cap of the crypto space. Guggenheim investments CIO Scott Minerd and a Wall Street advisor said that more investors should allocate a smaller amount of their portfolio to this space. Speaking in an interview with Bloomberg, he explained that investors should have a few percent of their portfolio in BTC:
“2% of your portfolio will be 20% of your portfolio before this is over. So, you don’t want to get too overweight, but certainly an allocation of a couple % of your portfolio seems to be a prudent play.”
The comment implies that BTC could increase by 1000% in the upcoming years to bolster a smaller allocation to BTC to bigger ones. This is similar to other comments made by Jones, like saying that having BTC in your portfolio is a rational bet because of the overpricing of other asset classes and the inflation amount that is taking place in the economy. Minerd on the other hand stated that he thinks BTC is in a short-term speculative frenzy or Mania and pointed to the exchanges like COinbase that get overloaded and cannot operate any more so they decide to limit their demand.
Bitcoin might have not topped yet but the cryptocurrency is holding for a technical support level for quite some time during the Monday correction.
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