In a significant move, Intesa Sanpaolo, Italy's largest bank, has become the first Italian bank to invest in Bitcoin. The bank purchased 11 BTC on January 13th, amounting to approximately €1 million ($1.02 million).
This investment comes shortly after Bitcoin surpassed the $100,000 milestone in December 2024. The news was revealed through an internal email by Niccolò Bardoscia, head of digital assets trading at Intesa Sanpaolo.
Growing Institutional Interest
Intesa Sanpaolo's investment aligns with the growing institutional interest in Bitcoin. This trend is evident in the recent decline of Bitcoin exchange reserves, reaching a near seven-year low. This "supply shock," driven by strong buyer demand and decreasing supply, is expected to fuel further price appreciation.
Macroeconomic Factors and Future Outlook
While analysts anticipate an end to the current Bitcoin correction, they emphasize the continued influence of macroeconomic factors. The slower-than-expected pace of interest rate cuts by the Federal Reserve could pose challenges for Bitcoin's price trajectory.
Despite these concerns, some analysts predict a significant Bitcoin cycle high, potentially exceeding $150,000 by late 2025. This bullish forecast is underpinned by the anticipated $20 trillion increase in the global money supply, which could attract substantial investment into Bitcoin.
January 2025, Cryptoniteuae