Sygnum Bank: Bitcoin demand will surge in 2025, with more entities increasing their Bitcoin allocations
ChainCatcher news, according to a report by Cointelegraph, the asset management company focused on cryptocurrency, Sygnum Bank, released a report on December 12 that indicates a surge in institutional fund inflows could trigger a "demand shock" for Bitcoin (BTC) in 2025, potentially leading to a spike in BTC prices.In its "2025 Crypto Market Outlook" report, Sygnum stated that the flow of institutional capital has already had a "multiplier effect" on BTC's spot price, with every $1 billion of net inflows into exchange-traded funds (ETFs) pushing the price up by approximately 3-6%. This dynamic is expected to accelerate in 2025 as large institutional investors, including sovereign wealth funds, endowments, and pension funds, increase their Bitcoin allocations.Sygnum further noted that this trend will only expand to altcoins if the U.S. passes laws supporting cryptocurrency adoption. Among these, the proposed "Financial Innovation and Technology for the 21st Century Act" (FIT21) and the "Stablecoin Payments Act" are particularly important for cryptocurrencies.