Institutional investors re-evaluate Bitcoin: a shift from short-term speculation to long-term allocation

[Crypto World] A recent research report presents some interesting data. Institutional investors are shifting their mindset; they are no longer fixated on short-term Bitcoin fluctuations but are instead applying traditional asset allocation logic to it.

The report makes a hypothesis: if Bitcoin’s market cap can reach one-third of gold’s, then by following this logic, the price of Bitcoin could surge to $1,420,000 by 2035. This sounds ambitious, but the underlying logic is based on traditional capital market models.

The most important recommendation is this—since Bitcoin’s expected return is relatively high and its correlation with traditional assets like stocks and bonds is very low, allocating 2%-5% of a portfolio to Bitcoin can actually reduce overall risk and improve portfolio efficiency. In other words, adding some Bitcoin isn’t necessarily gambling; it’s more like a new approach to balanced allocation. This shift from “speculating on coins” to “allocating coins” may signify the true maturity of institutional mindset.