“Institutional investment can no longer overlook the returns Bitcoin is generating,” stated the Kobeissi Letter on Tuesday.
The cryptocurrency cannot be disregarded due to its impressive 90% compound annual growth rate (CAGR) over the past 13 years, a performance unmatched by any other asset.
Even “cautious” funds are directing 1% of their assets under management towards Bitcoin as treasury trend momentum increases, they noted.
Substantial Institutional Inflows
At present, there is an estimated $31 trillion in institutional assets under management (AUM) in the United States, according to Kobeissi.
“If merely 1% of US institutional funds shift into Bitcoin, this could result in an additional $300 billion entering the asset,” they remarked.
An extra $300 billion added to Bitcoin’s $2.34 trillion market capitalization could elevate prices by approximately 13%, bringing the asset to $133,000. Analysts have widely forecasted this figure as a target for the short term.
“Considering global institutional AUM, we might observe $1 trillion+ flowing into Bitcoin,” they remarked.
An additional $1 trillion to the Bitcoin market cap could push prices up by 70%, edging it closer to $200,000.
“Bitcoin has simply become too substantial to be overlooked.”
Bitcoin’s next catalyst has arrived:
Simply put, institutional investment can no longer disregard the returns that Bitcoin is generating.
When an asset yields a return of 90% in one year, it can be deemed an “outlier.”
However, when an asset delivers a 90% CAGR for 13 years…
— The Kobeissi Letter (@KobeissiLetter) July 15, 2025
All of this is theoretically achievable without any retail involvement in the markets.
Institutions are already propelling the current market surge. BlackRock, for instance, has accumulated an impressive 717,388 BTC, representing 3.6% of the total circulating supply. Similarly, Strategy has gathered 601,550 BTC, which corresponds to 3% of the circulating supply.
These two organizations combined control an astonishing 6.6% of the entire Bitcoin supply, currently valued at $155 billion.
As more institutional Bitcoin funds launch, along with more corporations and nation-states acquiring the asset for their treasuries, the price is likely to trend upwards in the long term.
BTC Price Projection
Bitcoin is still consolidating after its all-time high on July 14 and is down 4.3% from that peak. At the time of writing, the asset was trading flat at $117,850, maintaining around support levels.
It’s possible that consolidation may persist for a while before the next surge into the $130,000 realm. The pullback is attributed to long-term holders realizing profits, rather than institutions liquidating their holdings.
Glassnode reported that this week witnessed “one of the largest BTC profit realization days this year, primarily driven by long-term holders.”
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