The price of Bitcoin’s rise might not be down to institutional money flowing into the space.
Bitcoin has been rallying hard so far this year, boosted by both the world's biggest tech companies taking an interest in bitcoin and cryptocurrenciesand the vague assumption that institutional demand for bitcoin has arrived and is outpacing retail demand.
The bitcoin price has climbed over 200% so far this year, rising from around $3,500 per bitcoin at the beginning of the year to highs of almost $14,000 as bitcoin and cryptocurrency fever returns after sweeping the world in late 2017.
However, the chief executive of Binance, the world's largest bitcoin and cryptocurrency exchange by volume, has warned that institutional demand for bitcoin may not be driving the latest rally as much as some had thought—and the already extreme volatility could be about to get even worse. "We have not seen institutions growing faster,” Binance's chief executive Changpeng Zhao, who's often known simply as CZ, told Bloomberg, a financial newswire. "What we’ve seen is a pickup in both places. The number of institutions coming into this industry has not increased that tremendously in 2019 yet.” ...