- The demand for Bitcoin by sovereign wealth funds has skyrocketed in the past few years.
- Bitcoin price is expected to record a parabolic rally in the coming months after regaining $100k again.
The momentum for approving Strategic Bitcoin Reserves (SBRs) at the state level has gained significant traction after New Hampshire and Arizona led the way. According to Dennis Porter, the CEO and co-founder of Satoshi Action Fund, there is a strong chance that two more U.S. states will approve and sign into law the SBR bills in less than 60 days.
“This also isn’t just me guessing. There are two states with very high odds of getting it done, especially now that two have already passed it into law,” Porter noted.
Among the other likely states to approve the SBR bills include Utah, especially after the Blockchain and Digital Innovation Amendments bill passed a house committee with an 8-1 vote earlier this year. Texas is also another state likely to approve the SBR bill in the next two months.
Impact of SBRs on Bitcoin Price Action
The rising demand for Bitcoin by sovereign funds in addition to institutional investors has played a crucial role in the underlying bullish sentiment. Furthermore, Bitcoin’s fear and greed index has surged to over 70 percent, signaling an overall market greed.
In the past few days, Bitcoin price outshined Gold and the wider stock market to rally beyond $100k for the first time since U.S. President Donald Trump took office earlier this year.
According to Kalshi, a U.S.-based prediction market platform, Bitcoin price has a high chance of rallying to a peak of $131k before the end of 2025.
From a technical analysis standpoint, Bitcoin price has mirrored the 2017 bull market cycle, thus signaling the onset of the much anticipated parabolic rally in the coming months.
