Standard Chartered Bank has indirectly highlighted the increasing interest of governments and state institutions in Bitcoin in the first quarter of this year. The bank noted that this increase was made possible through MicroStrategy (MSTR) shares and supports its goals for Bitcoin to reach $500,000 by 2029. “The latest 13F data from the U.S. Securities and Exchange Commission (SEC) supports our core thesis that Bitcoin is being adopted by broader institutional investors and that the price will reach $500,000 before President Donald Trump's term ends,” the report, written by Geoffrey Kendrick, the bank's head of digital assets research, said. According to Kendrick, as more investors gain access to Bitcoin and volatility decreases, portfolios will optimize their underweight positions against Bitcoin over time. Interest in direct Bitcoin ETFs has been “disappointing,” while interest in MicroStrategy stock has been “very encouraging,” according to 13F filings, which are mandatory quarterly reports filed by institutional investors managing $100 million or more in assets in the U.S. Related News: JUST IN: Argentina's President Makes Another Controversial Move Related to the LIBRA Cryptocurrency Scandal He Is Involved In The most notable ETF move came when the Wisconsin State Investment Board liquidated its entire position in BlackRock’s IBIT fund, worth the equivalent of 3,400 BTC. The fund stands out as the most widely used Bitcoin ETF among government institutions. Meanwhile, Abu Dhabi-based quasi-government institution Mubadala increased its IBIT holdings from the equivalent of 4,700 BTC to 5,000 BTC. But what really caught the eye was government interest in MSTR stock. According to Kendrick, some government agencies prefer to access BTC indirectly through companies like MicroStrategy due to legal restrictions on buying Bitcoin directly. In the first quarter of 2024, the Norwegian Government Pension Fund, the Swiss National Bank, and South Korea’s pension and investment institutions each added around 700 BTC equivalent of MSTR shares. In the US, the pension funds of the states of California, New York, North Carolina, and Kentucky invested around 1,000 BTC equivalent in total. Sweden and Liechtenstein also saw small increases, while France and Saudi Arabia also showed indirect interest in Bitcoin by buying small amounts of MSTR shares for the first time. “The 13F data shows that Bitcoin is a maturing market and is attracting new types of institutional investors, which could help push the price to $500,000,” Kendrick said. “When institutions buy Bitcoin, prices typically go up.” *This is not investment advice. Continue Reading: Standard Chartered Stands Firm on $500,000 Bitcoin Price: Here’s Why
