Cathie Wooden says BTC could hit $ 500,000 if institutions increase their allotment by 5%, as we read more on today’s Bitcoin news.

Ark Commit founder believes Bitcoin price could skyrocket by $ 500,000 if only institutions increase their allocation.

Cathie Wood said BTC and crypto are a small part of institutional portfolios, and institutions are turning to bitcoin too. She claims that crypto is a new asset class that has an entirely different correlation to other assets, while only real estate is very similar to it:

“Institutional regulators need to focus on emerging new, low-correlation asset classes. It is the key to diversification and the holy grail in terms of asset allocation. ”

She said that if institutions switch to BTC by assigning 5% to their portfolio, it could add another $ 500,000 to the asset’s price. Some of the larger investors like business intelligence, mobile software and cloud services companies are increasing their allocation. The company, led by Michael Saylor, Microstrategy, bought 1434 BTC for around $ 82.4 million in cash. Microstrategy tops the charts for companies that have invested in BTC and currently owns 122,477, valued at $ 5.9 billion at current prices. Tesla ranks second with 43,000 BTC valued at around $ 2 billion. Jack Dorsey’s Square changed its name to Block, which is now the third largest wealth holder with 8,027 coins.

Grayscale currently manages $ 46.6 billion in assets and approximately 68% of the shares are in a BTC trust fund. El Salvador also fell in price when President Nayib Bukele added another 150 BTC to his portfolio. The market corrects towards the end of the year, but sentiment remains bullish so Cathie Wooden may be right about institutional investors looking to hedge crypto. According to data from Coiningecko, Bitcoin price has fallen again, falling another 4% to $ 47,800. The asset was set at $ 58,000 in less than a week before falling $ 16,000 in a matter of hours. After BTC hit a two-month low of $ 42,000, BTC is still unable to recover from its losses and remains stuck below $ 50,000.