CNBC Bitcoin analyst Brian Kelly thinks that institutional adoption of Bitcoin is finally here as retail anticipation continues to ramp up for the $140 billion market cap digital asset.
He also noted that the planned daily supply cut (often referred to as ‘the halvening’) from 1,800 to 900 BTC in exactly 12 months’ time is key to a bullish continuation.
Kelly stated that “you’re starting to get that long-waited-for institutional adoption” and that we’re currently experiencing “retail anticipation”, as TD Ameritrade will “start opening Bitcoin trading to their retail customers” over the coming months. The BKCM founder went on to say that “Fidelity is rolling out institutional custody, and they’re getting customers”.
Kelly stated: “The big picture here is we’re starting to enter this cycle where you get a supply cut every four years – the supply of Bitcoin gets cut in half.”
He predicted that “generally you have a rally a year into it and a year out of it, and so we’re just at the beginning of that stage. There’s a combination of a lot of demand coming in and we’re heading into a period where we have a supply cut, and that’s generally very bullish.”
The regular CNBC analyst warned viewers that “when it goes higher and you buy it at the top, don’t tell BK (Brian Kelly) that I bought too much”.
Giving a personal insight into the situation, Kelly said that he had “talked to a lot of miners around the world, and a lot of them have said they’ve sold enough Bitcoin to get through the next year or so, so they are going to hoard Bitcoin at this point in time”.
He concluded his analysis by saying that it’s “really simple economics right now – you’ve got a lot of demand hitting little supply, and price is going higher”.