#Bitcoin continues to gain ground as a strategic asset in global markets. In a new discussion on Investment Strategies, Javier Molina, an expert in digital assets, talks with Javier Pastor, institutional manager of Bit2Me, about the growing role of institutional flows, the scarcity of supply on exchanges, the impact of ETFs, and the increasing state and corporate legitimization of the main crypto asset in the market.
One of the most notable data points we are seeing about the crypto market is the drastic reduction of #Bitcoin available on exchanges, at lows not seen since 2018. Currently, only about 2.4 million #Bitcoins remain in circulation on centralized platforms. 'This has to be reflected in the price, because if we reduce the supply and increase the demand, the impact is direct,' points out Pastor. However, he specifies that part of this supply is now concentrated in exchange-traded funds (ETFs), which means a change of hands, not a total disappearance of liquidity.
On this point, Pastor assures that 'there is a real contraction of supply both on exchanges and in OTC operations,' and this dynamic is reinforced by the growing interest of institutional investors, including funds, wealth managers, and investment banks. In fact, according to data from the Bitwise and 21Shares report, up to $420 billion could flow into #Bitcoin between 2025 and 2026.
'I don't think we've ever had a more positive environment: there is legitimization from funds, corporations, and states; a solid regulatory structure and growing technological adoption,' Pastor argued, who recalls that BlackRock already manages more than $70 billion in #Bitcoin following the approval of ETFs at the beginning of 2024.
In the corporate sphere, companies like MicroStrategy, MetaPlanet, or even Gamestop are incorporating #Bitcoin into their balance sheets as part of a diversification and hedging strategy. 'What Saylor has done is very intelligently print money through convertible debt and issuing shares to continue accumulating #Bitcoin. This strategy is being copied,' he explained.
The movement has also reached the state level. 'El Salvador was a pioneer, but now we see Pakistan, the Czech Republic, and even states like Texas or New Hampshire taking steps towards the creation of strategic reserves in #Bitcoin,' says the expert from Bit2Me. In the U.S., a modification of the SAP 121 regulation is also expected, which could eliminate the accounting hurdles that hindered massive institutional adoption.
Finally, there has been talk of the development of the #BitcoinFi ecosystem, where financial infrastructure is beginning to be built on the #Bitcoin network, with products like collateralized loans or BTC-backed bonds. 'We are at the beginning of a transformation of the financial system based on an auditable, transparent, and scarce asset,' emphasizes Pastor.
In the future, investors should watch, according to Pastor, three key factors: the decoupling of #Bitcoin from the Nasdaq, its behavior in relation to interest rates, and the evolution of global liquidity, as the correlation between the monetary base (M2) and the price of BTC remains notable. 'If the historical pattern repeats, we could see $140,000 in the coming months,' he concludes.
