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Equity and investment funds in bitcoin prepare to star in 2022

Various specialists believe that institutional allocations will drive the price of bitcoin over the next year.

The crypto market had several important phenomena during 2021: meme cryptocurrencies, non-fungible tokens (NFT) or decentralized finance projects (DeFi). However, there was one type of initiative that directly affected the price of bitcoin (BTC) and it is expected that they will continue to do so during the New Year: institutional investments.

At the end of 2020, corporate allocations on the market doubled the price of BTC in just a few days. Throughout this year, hundreds of institutions added the leading cryptocurrency to their financial strategies, to the point of representing total movements of about 30 billion dollars.

This growing institutional interest was also fueled by the launch of new investment tools, such as the exchange-traded BTC futures funds (ETFs) approved in the United States in October. In early November, the fallout was seen in BTC’s ATH posted above $ 68,800.

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Specialists believe that the crypto ecosystem already offers a wide range of possibilities beyond the use of BTC as a store of value. In this sense, they believe that a greater participation of investment funds in the market is inevitable during 2022.

We have gone beyond digital gold. We have financial services, art, games like a subcategory of NFT, Web 3.0, decentralized social media, playing to win, all of which made investors think , ‘ We don’t have enough exposure, ‘ ” explained Spencer Bogart , general partner at Blockchain Capital LLC. , in dialogue with Bloomberg.

Expectations are such that some analysts believe that the approval of new tools (such as spot or “pure” ETFs) or the increased flow of institutional investments will lead a new rally that will take the price of BTC to exceed USD 100,000.

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