2025: Institutional Relay, Is the Golden Age of Bitcoin Coming?

This year, Bitcoin surpassed $100,000, with institutional investors being the biggest contributors. Throughout 2024, the flow of funds in the Bitcoin market has been completely dominated by institutions. By 2025, this trend is not only expected to continue but may also be further amplified—because forces such as U.S. pension funds and sovereign wealth funds are gradually entering the arena.

What role do institutional investors play?

Let's talk about the data. In 2024, institutions purchased how much Bitcoin through spot Bitcoin ETFs and large holders like MicroStrategy? 683,000 coins! Moreover, in just a few weeks after the U.S. elections, 245,000 coins flowed in. Standard Chartered analysts predict that the pace of this institutional inflow will not slow down next year and may even accelerate. Now, looking at MicroStrategy, they already started executing the plan announced at the end of October: to raise $42 billion over the next three years to buy Bitcoin. They are now accelerating this execution. At this rate, the purchase volume in 2025 will likely exceed this year's.

How great is the potential of pension funds?

Now let's talk about pension funds; many people underestimate their potential. According to SEC data, pension funds currently account for less than 1% of the newly launched Bitcoin ETFs, which is indeed very low. But the issue is that after Trump took office, regulatory policies are likely to relax, significantly lowering the barriers for traditional financial institutions to enter the cryptocurrency space. The total scale of U.S. pension funds is $40 trillion, and even if only a small portion of that funds flows into the Bitcoin market, just think about how high the price could be pushed up.

Next, the market will become an institutional relay race: on one side, large institutions and companies like MicroStrategy are continuously increasing their stakes; on the other side, massive funds like pension funds are starting to enter the market. Given the current trends and policy environment, it is not impossible for Bitcoin to reach a new price peak in 2025. So, friends, if you are paying attention to Bitcoin, make sure to keep a close eye on institutional actions during this period. Because their decisions are likely defining the future trend of Bitcoin. #养老基金 #比特币

Source: Bloomberg