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305 sats \ 5 replies \ @badabing 14 Feb \ parent \ on: Bitcoin is once again a trillion dollar asset bitcoin
10k btc per day? Crazy. I guess they'll also rebalance and sell big chunks at some point?
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305 sats \ 0 replies \ @0xIlmari 14 Feb
Daily production is only 900 bitcoins, and soon to be cut in half.
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99 sats \ 3 replies \ @kr OP 14 Feb
i’d imagine the attraction of the rising price will outweigh any desire to rebalance in the near-term… most still have zero exposure.
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305 sats \ 2 replies \ @badabing 14 Feb freebie
Rebalancing is often automatic. If you have a portfolio with a 1% btc allocation and it becomes 2%, half of it will be sold to get back to 1%. At least that's how I understand it. People can of course increase their allocation, but that requires doing smth..
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0 sats \ 1 reply \ @kr OP 14 Feb
sure, but for a 1% allocation to go to 2%, bitcoin needs to go from $1T to $2T.
if that happens, the amount of new interest will surely cancel out any rebalancing efforts… at least in the short-term.
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367 sats \ 0 replies \ @badabing 14 Feb freebie
Sure, it's just an example. Theoretically, a 1.05% allocation should be rebalanced to 1.00% as well (every month/year). This could make the peaks and troughs less steep.
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