A recent report from River showed that hedge funds and the exposure of registered investment advisers (RIA) to Bitcoin (BTC) reached $ 34.3 billion from 31 December with a growth of 357% last year via Exchange-Traded Products (ETF).
The report emphasized that 458 Ria’s BTC exposure, where the weighted average allocation is 0.02%. In particular, the exposure of investment advisers increased from $ 2.6 billion in the first quarter to $ 7.1 billion from December 31, an increase of 173%.
In addition, 52% of the top 25 RIAs have assets in control of BTC exposure. Nevertheless, from December 31, only 3% of the American investment advisors had bitcoin tutings.
In the meantime, the exposure of hedge funds increased by 455%last year, from $ 4.9 billion in the first quarter to $ 27.2 billion. The report noted that only 143 of the more than 30,000 hedge funds had BTC investments from December 31.
Shift of accumulation pattern
In contrast to earlier cycles, institutional accumulation dominates the current bull run. The report showed that individual investors shed 525,000 BTC in 2024.
This individual exodus was confronted with 519,000 BTC purchased by funds and ETFs, while companies added 374,000 BTC to their treasury, 31% more than in 2020.
According to the report, this battery shift, combined with the rising interest rate of hedge funds and RIAs, indicates that settings stimulate Bitcoin prices.
Space for growth
The report emphasized that the acceptance of Bitcoin is only 3% of its full potential, which combines the total addressable market, institutional under -religious cells and worldwide ownership. Given the $ 900 trillion global power market, BTC represents only 0.2%.
The report, however, added that the addressable Bitcoin market has a market capitalization of $ 225 trillion, an estimate based on the potential to represent half of the market for assets. This means that Bitcoin is less than 1% of its addressable market, Per estimates.
Moreover, the institutional exposure to Bitcoin is only 0.006% of the $ 128 trillion of American investment advisor -money, much smaller than the estimated real value.
The report stated:
“Increase this [institutional exposure] For the current percentage of global wealth of Bitcoin (0.2%), a 36x -exposure increase would require, which corresponds to $ 249 billion in investments. “
Moreover, it emphasized that less than 4% of the world population owns Bitcoin and that individual property will probably increase as people become more aware of its benefits.
