Bitwise survey: how much will bitcoin cost in 5 years?

Clients of financial advisers are interested in bitcoin and may invest in cryptocurrencies yourself. This is the conclusion reached by analysts at Bitwise Asset Management, who surveyed participants in the asset management market.

Almost half (45%) of the respondents werefinancial advisors. They were followed by representatives of brokers (25%), financial planners (19%) and representatives of brokerage intermediaries (11%). All respondents manage assets on average between $ 50 million and $ 100 million.

On the left is the number of requests from clients about cryptocurrencies. On the right is the likelihood of clients' self-investing in cryptocurrencies. Source: bitwiseinvestments.com

According to the survey results, more than 80% of respondentsreported receiving questions from customers about cryptocurrencies. In 2020, this figure was 76%. However, the majority of survey participants (83%) admitted that they received inquiries from only a small number of customers (less than 10% of customers).

At the same time, more than 70% of respondents believe that their clients are already probably investing in cryptocurrencies on their own.

Bitcoin for diversification

Bitwise notes a sharp rise in the number of advisors who see "high potential return" from cryptocurrency investments and its role in "hedging inflation."

The largest growth (from 9% in 2020 to 25% in 2021) was observed precisely in the use of cryptocurrencies as a tool for “hedging inflation”.

There has also been a significant increase in interest incryptocurrencies and among institutional investors. We will remind, earlier the head of the largest crypto fund Grayscale announced the imminent arrival of US pension funds and other giants of the financial industry on the cryptocurrency market.

At the same level (54%), opinions onlow correlation of cryptocurrency with other assets. It is noteworthy that earlier JPMorgan experts stated that Bitcoin is unlikely to hedge risks due to large drawdowns and high correlation with cyclical assets.

Main cryptocurrency risks

The main obstacle to market entryof cryptocurrencies, according to respondents, there remains regulatory uncertainty. More than 50% of financial advisors cited regulation as a key impediment, slightly less than 56% in the 2020 survey.

In addition, respondents noted the risks associated withhigh volatility of cryptocurrencies (39% in 2021 versus 43% in 2020), as well as a lack of clarity in the valuation of digital assets (36% versus 41%).

Similar survey results were previously publishedconsulting firm Aite Group. According to her survey, most institutions expect regulatory clarity and the emergence of traditional depositories. Thus, institutions want to hedge against force majeure situations.

How much will Bitcoin be worth in 5 years?

Key changes affected the opinions on the pricecryptocurrency dynamics. More than 30% of respondents said that in the next five years, Bitcoin will be traded in the range of $ 25,000 - $ 50,000. It is noteworthy that a year earlier, only 8% were of this opinion. The smallest number of respondents (1%) believe that Bitcoin will collapse to $ 7,000 - $ 10,000. Over 15% predict the growth of cryptocurrency to $ 50,000 - $ 100,000.

Where is it more profitable to buy cryptocurrency?

For the safe and convenient purchase of cryptocurrencies, we have prepared a rating of the most reliable and popular cryptocurrency exchanges that support the deposit and withdrawal of funds in rubles, hryvnias, dollars and euros.

The most reliable sites with the highest turnoverfunds, for several years the largest cryptocurrency exchange in the world has been Binance. The Binance platform is the most popular crypto-exchange in the CIS as well, since it has the maximum trading volumes and supports transfers in rubles from Visa / MasterCard bank cards and payment systems QIWI, Advcash, Payeer.

Especially for beginners, we have prepared a detailed guide: How to buy bitcoin on a crypto exchange for rubles?

#	Cryptocurrency exchange	Official site	Site evaluation
1	Binance (Editor's Choice)	https://binance.com	9.7
2	Huobi	https://huobi.com	7.5
3	Exmo	https://exmo.me	6.9
4	Yobit	https://yobit.net	6.3
5	OKEx	https://okex.com	6.1

The criteria by which the rating is set in our rating of crypto-exchanges:

• Work reliability - stability of access to all platform functions, including uninterrupted trading, deposit and withdrawal of funds, as well as the period of work on the market and the daily trading volume.
• Commissions - the size of the commission for trading operations within the site and the withdrawal of assets.
• Feedback and support - we analyze user reviews and the quality of technical support.
• Convenience of the interface - we evaluate the functionality and intuitiveness of the interface, possible errors and failures when working with the exchange.
• Platform features - availability of additional features - futures, options, staking, etc.
• final grade - the average number of points for all indicators, determines the place in the rating.

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