BlackRock Report Suggests 84.9% BTC Allocation in Equity & Bond   

BlackRock, one of the leading asset managers, released a research report favoring the aggressive allocation of Bitcoin in traditional investment portfolios. The paper by the firm is titled “Asset Allocation with Crypto: Application of Preferences for Positive Skewness.” 

The analysts and researchers of BlackRock suggested that the optimal allocation to Bitcoin in an investment portfolio consisting of 60% equities and 40% bonds should be a substantial 84.9%. 

X handle of Bitcoin News posted the highlight of BlackRock’s research paper with a caption that “REMINDER: Last summer, BlackRock put out a paper stating that “Starting with a 60-40 equity-bond portfolio… the optimal Bitcoin allocation is 84.9%.” 

However, the research of the financial giant conducted an in-depth study of the performance of Bitcoin and returns from July 2010 to December 2021. It highlights that the price of the crypto pioneer exhibited considerable volatility of 132% yearly.

Bitcoins’ third most significant central moment was 144% annually, significantly more fantastic than any other crypto coin/token.   

Crypto Market and Bitcoin Price Update

In the past 24 hours, the market capitalization of the entire crypto market grew significantly and, when writing, was $1.64 Trillion; on the other hand, the leader of the market crossed the mark of $42k after registering an intraday surge of 1.55%. 

At the time of writing, Bitcoin was trading at $42,408, but a negativity of 35.44% was observed in the coin’s trading volume. The list of 24-hour gainers is topped by Ronin (RON), which grew 13.81%, followed by Avalanche (AVAX) at 11.84%, Injective (INJ) at 10.42%, and Bonk, a popular meme coin surged 8.49%.  

SATS lost 4.72% in the past 24 hours and became the leader of the loser list, followed by Frax Share (FXS), OKB (OKB), Tron (TRX), and Conflux (CFX). In the crypto market, the most discussed topic as of writing is the fourth Bitcoin halving, which is scheduled to be held in April 2024. 

As the date of events neared, analysts started making their statements. Some believe the market will show bullishness after the halving, while others claim that the price will not show any significant movement.

An analyst at Cantor Fitzgerald stated that eleven leading publicly traded Bitcoin miners are expected to face a barrier to booking projects if Bitcoin’s price does not experience a significant increase after the successful completion of the most awaited event of Bitcoin’s 4th halving.

Disclaimer

The views and opinions stated by the author or any people named in this article are for informational ideas only and do not establish financial, investment, or other advice. Investing in or trading crypto or stock comes with a risk of financial loss.

Steefan George is a crypto and blockchain enthusiast, with a remarkable grasp on market and technology. Having a graduate degree in computer science and an MBA in BFSI, he is an excellent technology writer at The Coin Republic. He is passionate about getting a billion of the human population onto Web3. His principle is to write like “explaining to a 6-year old”, so that a layman can learn the potential of, and get benefitted from this revolutionary technology.