How Just a 1% Change in Pension Funds Could Send Bitcoin to $175K

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  • A 1% allocation from global pension funds could trigger a supply shock, sending the BTC price to $175,000.
  • With less than 2 million BTC on exchanges, an influx of $600 billion would create enormous price pressure.
  • A new cryptocurrency bill is expected to be passed in the US by the end of the year, which could open up access for institutional investors.

New analysis from cryptocurrency influencer Altcoin Daily provides compelling evidence of Bitcoin’s next big rally. According to Bill Miller IV, investing just 1% of the world’s $60 trillion in retirement savings in Bitcoin could boost its price by more than $30,000.

At current levels, such an influx of funds could push the price of Bitcoin to around $175,000, which would be an increase of more than 50% compared to today's market.

Why the 1% has such a huge impact

The logic behind this powerful forecast is based on simple supply shock arithmetic. An influx of $600 billion, representing 1% of the total pension fund pool, would not be proportionally absorbed by Bitcoin’s current $2.2 trillion market cap.

With less than two million bitcoins currently available on exchanges, this massive new demand will be met with extremely limited supply. Altcoin Daily suggested that the result would be “insane” upward pressure, especially given that long-term holders like Michael Saylor are unlikely to sell the cryptocurrency on the upswing.

The institutional domino effect has already begun

While the 1% market share allocation remains hypothetical, Bitcoin is already a part of institutional portfolios. Reputable institutions like Harvard University Endowment Fund and Norway’s sovereign wealth fund have already begun investing in the crypto space.

Analysts say these influential early adopters could set a powerful precedent for other fund managers, creating a “domino effect” of capital flowing into Bitcoin as the asset becomes a standard part of institutional portfolios. This comes as the new SEC leadership, led by Chairman Paul Atkins, has made its pro-crypto stance clear .

Coming Catalyst: US Cryptocurrency Bill by Year's End

In addition to institutional inflows, Senator Cynthia Lummis recently confirmed that the long-awaited cryptocurrency market structure bill will be ready by the end of the year.

The legislation is expected to provide clarity on the oversight of digital assets and potentially open up opportunities for further institutional participation.

Altcoin Daily described the current period of consolidation as typical before major catalysts, comparing it to the price action before the ETF approval earlier in the year.

The Wider Crypto Landscape: Solana and XRP

Since the beginning of the year, the tokenization of real assets on Solana has grown by more than 140%, and there are now approximately $500 million worth of tokenized shares and assets on the blockchain.

Meanwhile, XRP is facing renewed pressure after the US Securities and Exchange Commission delayed decisions on several proposed XRP exchange-traded funds, with new deadlines now set for October.

These developments highlight the volatile but rapidly changing landscape of digital assets as they approach institutional adoption. For now, the possibility of even a small portion of the world’s pension savings shifting to Bitcoin remains speculative.

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Source: cryptonews.net

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