Bitrabo Editorial
A recent report from Aspen Digital reveals that digital assets are becoming increasingly embraced by private wealth managers in Asia, with 76% indicating they are investing in cryptocurrencies.
Growing Interest in Crypto Due to Potential Benefits
The report, titled “Asian Private Wealth in Digital Assets,” examines the escalating interest in digital assets among wealth managers in Asia.
Conducted in the last half of 2024, the report analyzed nearly 100 family offices, high-net-worth individuals, and asset managers from countries such as Japan, Singapore, and Hong Kong.
It found that the percentage of those investing in cryptocurrencies rose to 76% in 2024, compared to 58% in 2022. Additionally, 18% of the surveyed individuals expressed intentions to invest in crypto assets soon.
An impressive 94% of family offices and high-net-worth individuals are either currently invested or looking to invest in digital assets. Elliot Andrews, CEO of Aspen Digital, shared insights on this shift:
The discussion within the private wealth sector has transformed; the focus has shifted from questioning the viability of the asset class to determining how much of a portfolio should be allocated to it. With their launch this year, Bitcoin ETFs are growing at unprecedented rates and while a small segment of institutional investors are on board, these products have lent significant credibility to this asset class.
The introduction of Bitcoin (BTC) exchange-traded funds (ETFs) by the U.S. Securities and Exchange Commission (SEC) earlier this year has provided a solid regulatory foundation, encouraging more investors to consider crypto as part of their portfolios.
Bitcoin ETFs have rapidly become the fastest-growing ETFs ever, with BlackRock’s IBIT accumulating $10 billion in assets under management (AUM) in just 49 days, far surpassing the previous record set by JPMorgan’s JPEQ, which took 647 days.
In the current year, key interests for wealth managers include decentralized finance (DeFi), artificial intelligence (AI) and decentralized physical infrastructure networks (DePIN), along with the tokenization of tangible assets. Interestingly, non-fungible tokens (NFTs) and viewing crypto primarily as a “store of value” have fallen off the list of top interests in digital assets.
Expectations for Bitcoin to Reach $100,000 by Year-End
The report also reveals that 31% of respondents believe Bitcoin could rise to at least $100,000 before 2024 concludes, while 10% anticipate a drop below $60,000.
Although aiming for a $100,000 Bitcoin might seem overly ambitious—especially in light of the coin’s recent volatile performance amid geopolitical tensions in the Middle East—some analysts suggest the target might not be high enough.
For instance, analyst Ali Martinez pointed out Bitcoin’s “cup and handle” pattern, a hopeful bullish indicator which may drive the price as high as between $194,000 and $352,000.
Conversely, a recent assessment suggested that Bitcoin’s historical four-year cycle—once a reliable bullish sign due to BTC’s halving—might not accurately predict its future price movements anymore.
Additionally, Bitcoin’s search popularity on Google has plummeted to its lowest in 2024, raising doubts about the chances of a significant BTC rally in the fourth quarter of the year. Currently, BTC is trading at $67,148, reflecting a decline of 0.4% over the last 24 hours.
