The financial market is full of challenges, and it favors those who can keep up with the changing trends. The same has been noticed by the senior financial analyst and strategist at Bloomberg, Mike McGlone. The commodity manager recently published a report claiming that cryptocurrency trading is turning into a necessity for money managers.
His report also showcased a dramatic increase in the popularity and investment interest in cryptocurrencies like Bitcoin and Ethereum. McGlone concluded that 2021 is nothing short of a foundation year for strengthening cryptocurrency trading and taking it high enough to level with the traditional financial vehicles.
Rising Interest In Cryptocurrency Trading Has Gone Beyond Retail Investors
Mike McGlone recently published a report on the impact of cryptocurrency trading on the overall financial markets. He claimed that more and more institutional investors have started to include Bitcoin and other cryptocurrencies in their funds, trusts, and other financial vehicles. He further added that the money managers who have chosen to discard the inclusion of digital assets are at risk of losing their jobs in comparison to their peers who have adapted to the new financial ecosystem.
McGlone claimed that the financial world rewards managers who can take note of the new trends before the masses. He further added that Bloomberg Galaxy Crypto and other indexes that consist of DeFi are more likely to outperform traditional indices like S&P 100 in 2021. McGlone also noted that digital currency selloffs have managed to attract greater investment interest due to the changing financial climate globally.
A cryptocurrency media outlet reached out to the big names in the money management market recently. Names like Jeffery Wang from Amber Group, Michael Sonnenshein from Grayscale, and Edouard Hindi from Tyr Capital all agreed to the idea that career risks for including cryptocurrencies like Bitcoin into the investment vehicles have decreased significantly in the current year.
At present, the total market cap for the crypto market has exceeded $2.8 trillion. Commenting on the increasing scale of crypto trading, Hindi claimed that due to the massive institutional interest in the digital asset market, the odds against the money managers for adding cryptocurrencies in their portfolio have improved, and now the emphasis is on the fiduciary expectations. McGlone also added in his report that the old formula of working with 60% equities and 40% bonds for success has also become redundant in the current financial environment.
