According to Kraken’s growth leader Dan Held, institutional investors could kick-start the most extreme segment of the Bitcoin bull market ever.

 

 

Emphasis on institutions

In a long Twitter post, Held says to his 164,000 followers that Bitcoin is quickly attracting institutional investors who can add trillions of dollars of value to the market.

Institutions manage $ 100 trillion and now some of that flows into Bitcoin.

As institutions access and buy Bitcoin, it reduces Bitcoin’s affordability.

Held points out that the level of corporate Bitcoin trading that Coinbase has seen since the fourth fiscal quarter of 2019 increased at an alarming rate, especially towards the fourth quarter of 2020.

“A more concrete way to measure the rise of institutions is with Coinbase’s S-1 filing, which has a chart that separates corporate and retail trade volume. As we can see, the rise of institutions started in the 2nd quarter of 2019 and started to rise in the 4th quarter of 2020. ”

According to Kraken’s growth leader Dan Held, institutional investors could kick-start the most extreme segment of the Bitcoin bull market ever.

 

He noted that as Bitcoin gains influence among these larger investors, it will gain significant staying power that changes the outlook for BTC and the financial market.

“This is an important transition in Bitcoin’s adoption curve. As it becomes more widely accepted as a store of value, it gets deeper in our world. This Bitcoin cycle is different. Never before has Bitcoin had such strong foundations against a macro background (the traditional financial system) that emphasized why Bitcoin is necessary, the narrative is one, and flows can easily come to Bitcoin. ”

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The Kraken manager believes widespread adoption at this level could trigger a unique bull market and reduce the intensity of future bear markets.

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