Bitcoin volatility will be calmed by the arrival of other institutional investors

According to Jeff Currie of THE US investment bank Goldman Sachs, bitcoin would be helped if more institutional investors opened their positions there. This would make cryptocurrency a full-fledged asset that might not be subject to such fluctuations as it does now.

The more massive arrival of institutional investors is an absolutely key element in stabilizing the development of the Bitcoin market. Jeff Currie, head of commodity market research at US investment bank Goldman Sachs, is convinced. This will make the Bitcoin market more “mature” and will not be subject to the fluctuations that have occurred in recent weeks and months.

“At present, institutional investors have relatively little money invested in Bitcoin. Of the about $700 billion that the bitcoin market represents, only about one percent comes from institutional investors,” Currie said in an interview with CNBC television station.

According to Currie, Bitcoin is similar to a defensive asset as gold. About $1 trillion is currently allocated in all cryptocurrencies. If this amount were doubled, Currie said, it would be easy to determine what a fair price bitcoin could be. It is the development of the gold market that could serve as a model for bitcoin, Currie thinks.

author avatar
EditorialTeam
The Trader-Magazine.com EditorialTeam is a collective of certified financial analysts, active traders, and cryptocurrency experts. Our mission is to transform complex market data (forex, equities, indices) into accessible financial education. All content undergoes rigorous, multi-level fact-checking to ensure we deliver only accurate, objective information for your trading and investment decisions.

Top 10 financial instruments for 2022. What will their prospects be in 2023?

The year 2022 has brought countless surprises and obstacles...

Telegram scams: how they work and how to protect yourself

Telegram has become one of the most widely used...

Trump Saved TikTok from a Ban. The App in the U.S. Moves into American Hands

TikTok narrowly avoided a ban in the United States...

Climate Change Poses Major Risks to Financial Markets, Regulator Warns

WASHINGTON — A top financial regulator is opening a...

Golden Brokers Review

Golden Brokers Limited was founded in 2018, it is...

Siemens’ Quarterly Profit Beats Estimates as the Company Benefits from AI-Related Demand

German industrial conglomerate Siemens increased its profit from industrial...

Sell Stop Orders: How They Work, When They Trigger and Where They Fail

A sell stop order allows investors to automatically sell an asset...

German Authority Investigates PayPal Over Possible Restriction of Competition

The online payment system PayPal may be engaging in...

Airbnb Could Earn More From the Same Booking

Airbnb plans to bring car rentals and partner services directly into its platform. With AI customer support reducing overheads, the company aims to earn higher profits from existing customer bookings.

Over-the-Counter Markets: How OTC Trading Works Outside Centralized Exchanges

Over-the-counter (OTC) trading allows investors, financial institutions, and companies...

Maersk’s profits grew, but a return via Suez may squeeze margins [1]

Maersk posted an operating profit of USD 3.3 billion...

Shooting Star Candlestick: How to Read It Without Trading the Shape Alone

A shooting star candlestick can warn that an upward...
spot_img