Standard Chartered Predicts Surge in Wealth Funds Buying Bitcoin

Geoffrey Kendrick, the head of foreign exchange research at Standard Chartered, predicts that more sovereign wealth funds will start buying Bitcoin. This forecast comes as more institutions show interest in cryptocurrency. 

Recent filings and investments also suggest a shift toward wider use of Bitcoin. Kendrick points to the 13F filing for the fourth quarter, which indicates that institutional investment in Bitcoin is already happening.

Kendrick’s Bitcoin Expectations are not Far-fetched

Meanwhile, Kendrick’s expectations are bolstered by Abu Dhabi’s recent investment in BlackRock’s Bitcoin exchange-traded fund (ETF). This shows the region’s growing interest in digital assets. This investment reflects a willingness by state-owned funds to include Bitcoin in their diverse portfolios. 

Kendrick believes these actions will likely encourage other sovereign wealth funds worldwide to explore Bitcoin as it becomes more popular as an alternative investment. Furthermore, Kendrick affirmed that more state pension funds and institutional investors will soon invest in Bitcoin. 

Additionally, Standard Chartered believes Bitcoin could reach $500,000 by 2028. As these large investors join the market, Kendrick thinks Bitcoin will become a key part of the global financial system.

Continuous Optimism on Bitcoin

Earlier in the year, Geoffrey suggested purchasing Bitcoin during its slump, driven by its correlation with the Nasdaq. It is worth noting that Geoffrey’s optimistic stance on Bitcoin underscores its resilience amid market volatility and global economic uncertainty. Despite short-term price fluctuations and shifting market sentiment, Bitcoin’s inherent value proposition remains intact.

Kendrick’s optimism is also rooted in Bitcoin’s fundamentals, which remain strong. Recall that Kendrick predicted that Bitcoin’s price could rise as high as $125,000 following President Donald Trump’s election. Despite price volatility, several nations, including El Salvador, have incorporated Bitcoin as a strategic reserve.

Standard Chartered Adopt Digital Asset Trading

Last year, the world’s leading international bank announced plans to launch a cryptocurrency trading desk targeting Bitcoin and Ethereum (ETH). 

As reported by TheCoinRise, the strategic move signifies the bank’s commitment to integrating digital assets into its portfolio. By setting up a trading desk for these digital assets, Standard Chartered became one of the first global banks to adopt a crypto strategy through spot digital asset trading.

Meanwhile, the trading desk will be supported under the bank’s foreign exchange trading unit. Other major banks and financial firms have also begun exploring cryptocurrency trading and investment opportunities. This move is driven by increasing client interest and the potential for significant returns.