With institutional interest in Bitcoin increasing, retail investors may find it harder to secure the cryptocurrency. Experts, including Sergej Kunz at the LONGITUDE event, warn that if nations like the US begin accumulating Bitcoin as a strategic reserve, it could cause prices to rise significantly, potentially excluding retail buyers. Predictions suggest Bitcoin’s price could reach $200,000 within the year and over $1 million by 2029, highlighting the urgency for retail investors.
Retail investors face increasing pressure to acquire Bitcoin as institutions ramp up their buying activity, warns Sergej Kunz, co-founder of 1inch, an exchange aggregator. During Cointelegraph’s LONGITUDE event in Dubai, Kunz noted that Bitcoin (BTC) is transitioning into a potential global reserve currency, which could push retail investors out of the market, as prices continue to climb. “Every retail user should be thinking about getting at least one Bitcoin — very soon they won’t be able to afford it,” he cautioned.
Kunz raised concerns about the implications of the United States establishing Bitcoin as a strategic reserve asset. He suggested that if this happens, smaller nations may struggle to acquire Bitcoin as they contend with larger institutional forces. “I’m pretty sure we’ll soon see countries battling over who owns more Bitcoin. The US will start,” he stated, highlighting a growing trend.
The acceleration in Bitcoin’s demand follows US President Donald Trump’s announcement of imposing tariffs on imports back in April, setting the stage for trade tensions that could leave investors seeking alternatives. Yat Siu, co-founder of Animoca Brands, echoed this sentiment at the panel, revealing that the only reliable hedge against inflation across borders seems to be Bitcoin.
In light of ongoing economic uncertainty, Bitcoin exchange-traded funds (ETFs) experienced a surge in investor inflows during the week of April 21-25, raking in over $3 billion as institutions seek the safe haven that Bitcoin could represent. Some analysts propose that this institutional buying spree could see Bitcoin’s price skyrocket, predicting figures as high as $200,000 per coin within this year and even exceeding $1 million by 2029.
David Siemer, co-founder and CEO of Wave Digital Assets, pointed out to Cointelegraph that historically, economic fluctuations have propelled institutional interest in digital assets. He suggested that diversification strategies often depend on the movement patterns of these economies.
As of May 1, data from BitcoinTreasuries.NET shows that Bitcoin ETFs and various institutional funds collectively hold more than $128 billion in Bitcoin. Additionally, corporate treasuries account for another approximately $73 billion. Meanwhile, sovereign states including the United States, China, and the United Kingdom boast holdings of over $130 billion in Bitcoin, although much of this is attributed to seized crypto assets rather than direct purchases of Bitcoin itself.
