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The price of Bitcoin (BTC) will reach $ 50,000 in 2021says the best-seller author Rich dad poor dad, Robert Kiyosaki.
Kiyosaki reported that in 2021 a “institutional money wallIt will come in Bitcoin, which could drive the price even higher.
Why is Kiyosaki talking about institutional interest in Bitcoin?
In addition to being a writer, Kiyosaki is a real estate mogul and a precious metals investor. Historically it has favored several stores of value, including silver.
Based on the institutional influx of Bitcoin, Kiyosaki has explained that BTC below $ 20,000 is ideal, as the next target is $ 50,000:
“I am happy that I bought Bitcoin. Next stop $ 50,000. A lot of institutional money will arrive in 2021. Buy less than $ 20,000. If Bitcoin was lost, buy silver. Silver is ready to move thanks to the AOC Green New Deal. America is in trouble. The future is bright for gold, silver, Bitcoin and entrepreneurs. “
If Bitcoin reaches $ 50,000, its market capitalization will be $ 928 millionor about 10.3% of that of gold. Bitcoin is in a favorable position for a rally in the coming months, thanks to its low correlation with the stock market.
Traditional safe-haven assets, such as gold, tend to decline as US stocks rise. In the case of BTC, the correlation with US stocks is relatively low: therefore, the cryptocurrency has experienced strong bullish trends even as the value of stocks has risen.
For example, in the last 24 hours, the price of Bitcoin has risen by about 4.5%, reaching a gain of 6.5% at the daily peak.
The BTC move came in parallel with that of gold, as Asian markets tumbled and US stocks registered a slight pullback. Holger Zschaepitz, Market Analyst at Welt, commented:
Asian stocks corrected along with European and US futures after a mixed session on Wall Street, marked by cautious economic risks related to virus measures and ongoing US fiscal stimulus talks. Yields on US 10-year bonds are less than 0.9%. The dollar is stable with the euro at 1.2153. Gold rises to $ 1839. #Bitcoin to $ 19,100 “.
The lack of correlation between Bitcoin and US stocks is likely due to two factors. First, when risky assets rise, BTC benefits from general growth in investor interest.
Second, stocks have risen in recent months due to unprecedented injections of liquidity by the central bank. Relaxed financial conditions benefit Bitcoin as investors turn to hedge against inflation.
Business in CME and grayscale continues to grow
CME’s Bitcoin futures market open interest is around $ 1.07 billion, not far behind OKEx and Binance Futures.
Data shows that institutional demand for Bitcoin is so high that platforms focused on these participants are outperforming major retail exchanges in terms of open interest and trading volume.
Further, On December 15, grayscale surpassed $ 13 billion in assets under management, indicating a large increase in institutional inflows in Bitcoin.
“AUM Record for Grayscale … $ 13 Billion”.
Record AUM for Grayscale … $ 13 billion https://t.co/bSFF7Jtimb
– Barry Silbert (@BarrySilbert) December 14, 2020
It appears that institutions are accumulating Bitcoin rapidly after investments announced by high-profile figures such as MicroStrategy, Square, and MassMutual. The result, as reported by Cointelegraph, is a ‘Aggressive buying pressure in the futures and options markets..
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