Retail investors’ FOMO is chasing only after the price has gone up; institutions’ FOMO is getting anxious only because the allocation ratio isn’t enough.
The former is emotion; the latter is a process—
Once a committee decides to include crypto in standard allocations, the money comes in quarterly, according to the ratio. It won’t be withdrawn just because there’s a pullback.
But don’t get too excited yet. Institutional entries are slow and on a large scale—their buy orders will prop up the bottom, and at the same time they’ll reduce volatility and thin out excess returns.
What retail investors can often benefit from is the window of time while they’re still hesitating.
The former is emotion; the latter is a process—
Once a committee decides to include crypto in standard allocations, the money comes in quarterly, according to the ratio. It won’t be withdrawn just because there’s a pullback.
But don’t get too excited yet. Institutional entries are slow and on a large scale—their buy orders will prop up the bottom, and at the same time they’ll reduce volatility and thin out excess returns.
What retail investors can often benefit from is the window of time while they’re still hesitating.