Show someone that #Bitcoin went up, and they'll want more of it in their portfolio. You don't even have to tell them anything else.
The Federal Reserve Bank of Cleveland ran that exact experiment. Researchers told one group of survey respondents that $BTC was up 14.3% over the past year, then asked everyone how much crypto they wanted to hold.
That one piece of information pushed their desired crypto allocation up about 2 percentage points from a 4.3% baseline, a 47% relative jump. They wanted roughly 6.3% of their portfolio in crypto, and went on to buy more crypto in later survey waves.
The weird part is that they wanted more stocks too.
Desired stock allocation rose 1.64 percentage points even though researchers hadn't told them anything about stocks.
$BTC is up 2.69% in the past 24 hours as we write this. That's exactly the kind of number the paper suggests can pull new buyers in and help a rally feed itself, at least until the returns stop showing up.
The researchers point to that spillover into stocks as one way speculative bubbles can form. Someone sees a real past return and assumes some of it will continue. They buy. That buying pushes prices higher. The higher price then becomes evidence for the next person to buy.
Nobody has to be irrational for the loop to work. They just have to believe that some of what just happened will happen again.
Meanwhile 🚀 $HYPE hits another ATH
Hyperliquid just pushed above $83, and the momentum is definitely catching my attention.
With trading activity around the ecosystem staying strong, I’m keeping $HYPE on my watchlist to see what comes next.
BingX has $HYPE perpetuals open for anyone tracking the move.
Just my personal take. DYOR 🤝
#BTC Price Analysis#
The Federal Reserve Bank of Cleveland ran that exact experiment. Researchers told one group of survey respondents that $BTC was up 14.3% over the past year, then asked everyone how much crypto they wanted to hold.
That one piece of information pushed their desired crypto allocation up about 2 percentage points from a 4.3% baseline, a 47% relative jump. They wanted roughly 6.3% of their portfolio in crypto, and went on to buy more crypto in later survey waves.
The weird part is that they wanted more stocks too.
Desired stock allocation rose 1.64 percentage points even though researchers hadn't told them anything about stocks.
$BTC is up 2.69% in the past 24 hours as we write this. That's exactly the kind of number the paper suggests can pull new buyers in and help a rally feed itself, at least until the returns stop showing up.
The researchers point to that spillover into stocks as one way speculative bubbles can form. Someone sees a real past return and assumes some of it will continue. They buy. That buying pushes prices higher. The higher price then becomes evidence for the next person to buy.
Nobody has to be irrational for the loop to work. They just have to believe that some of what just happened will happen again.
Meanwhile 🚀 $HYPE hits another ATH
Hyperliquid just pushed above $83, and the momentum is definitely catching my attention.
With trading activity around the ecosystem staying strong, I’m keeping $HYPE on my watchlist to see what comes next.
BingX has $HYPE perpetuals open for anyone tracking the move.
Just my personal take. DYOR 🤝
#BTC Price Analysis#
