Between now and the end of the year, the allocations for Bitcoin for next year, from the traditional finance world, are going to increase. That is going to happen.

—Jordi Visser, Official Youtube Interview

Based on the project’s utility and whitepaper, our price prediction for $HYPER is $0.32 by the end of the year and $1.50 by 2030, with sufficient community support and successful implementation.

Swiss lender UBS, which manages over $1 trillion in assets, said wealthy clients have begun allocating up to 5% of their portfolios to crypto as a way to hedge against inflation and currency volatility.

According to the Swiss bank’s 2025 Global Investment Returns Yearbook, affluent investors are diversifying beyond traditional assets by investing in Bitcoin (BTC) and alternative cryptocurrencies.

Shifting portfolio strategies

The report highlighted how crypto has evolved from a fringe asset into a recognized component of modern portfolio construction, particularly as long-term concerns mount around the US dollar and other fiat currencies.

The 2025 Yearbook noted that traditional diversification models, once reliant on real estate, commodities, and global equities, are being rethought in response to structural inflation and increased systemic risk.

Digital assets are gaining attention for their low correlation to legacy markets and their potential to act as buffers against macroeconomic shocks.

The analysis echoes comments made by Bitwise CIO Matt Hougan, who recently highlighted that institutional and high-net-worth investors increasingly view crypto as a macro hedge. Hougan similarly said that these investors are starting to increase their allocations to crypto from 1% to up to 5%.

Generational split

UBS data shows a clear generational divide in how clients approach crypto. Younger investors, primarily those under 50, are significantly more likely to incorporate digital assets into their core holdings.

Many view cryptocurrencies not just as a hedge, but as a bet on the future of financial infrastructure, driven by advancements in blockchain, tokenization, and decentralized applications.

These investors are also more comfortable with volatility and more receptive to emerging technology sectors. For them, crypto fits naturally alongside venture capital and tech exposure in portfolios designed for long-term growth.

In contrast, older clients tend to approach crypto with greater caution, often limiting exposure to small, controlled allocations through regulated products or tokenized versions of traditional financial instruments.

For these investors, crypto serves a complementary role, similar to gold, insurance against systemic tail risks, rather than a primary growth engine.

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Investor portfolio allocations to crypto have reached a yearly high of 1.8% as of April 29, according to a recent report published by CoinShares. 

The report attributed the increase to recent price movements and improving sentiment in the crypto market. Its findings are based on survey data and supporting 13F filings, offering a position snapshot of how institutions, individuals, and wealth managers across asset classes.

Institutional portfolios, in particular, showed an average crypto allocation of 2.5%, reflecting a marked shift toward greater on-chain exposure. 

While individual investors maintain the highest absolute weighting in crypto, the report highlights a growing commitment among institutions and family offices.

Bitcoin dominates allocations

Bitcoin (BTC) continues to lead among crypto holdings, with 63% of survey respondents confirming exposure, up from 48% in January. Ethereum (ETH) remains in second place with nearly 20%, while Solana (SOL) follows with 17%. 

Other altcoins, including Polkadot (DOT), Cardano (ADA), and XRP, registered little to no presence in investor portfolios, suggesting a move away from broader diversification within crypto holdings.

The narrowing focus on Bitcoin coincides with investors reassessing altcoin risk and increased comfort with Bitcoin’s relative liquidity, infrastructure, and perceived regulatory clarity. 

This trend is evident despite Ethereum’s continued relevance and growing interest in alternatives outside the top two digital assets.

Respondents primarily cited diversification (30%) as the leading reason for including crypto, followed by interest in distributed ledger technology and speculative motives. 

While client demand has dropped compared to the previous quarter, speculative interest has increased, suggesting a reevaluation of crypto’s role in multi-asset portfolios.

Volatility and regulation remain top concerns

Volatility remains the primary barrier to new crypto investments, even as Bitcoin has recently exhibited lower volatility than equities. 

The persistence of this concern highlights a mismatch between investor perception and the asset’s observed performance during recent market disruptions. Volatility was also the primary ongoing concern among respondents already allocated to crypto. 

Meanwhile, regulatory uncertainty remains the second-most reported barrier to entry, consistent with previous surveys. Investors also reported concerns over reputational risk and weak fundamentals, but to a lesser degree. 

According to the report, expectations that regulatory and political risks would decline following executive orders issued earlier in the year have yet to materialize. Meanwhile, previously cited risks, such as quantum computing, have diminished in relevance.

The report also showed a broader macroeconomic backdrop informing investor sentiment. Despite potential headwinds from tariff-related economic fallout and fears of stagflation, a growing number of respondents view the Federal Reserve’s current policy direction as appropriate, though a substantial portion remains undecided.

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