Itaú, Brazil’s largest personal financial institution, really helpful in a brand new analysis report that buyers allocate 1-3% of their portfolios to Bitcoin by 2026.
The financial institution cited the necessity for threat diversification and safety towards trade charge fluctuations as the primary rationale for this suggestion.
The report states that regardless of Bitcoin’s current worth decline, Bitcoin performs a complementary function in portfolios amid heightened world and geopolitical uncertainty. This evaluation argues that crypto belongings are not only a speculative device, however another stabilizing component for portfolios uncovered to financial uncertainty.
Itau analyst Renato Eid, who signed the doc, mentioned Bitcoin doesn’t have the identical dynamics as shares, bonds or native markets. Eid mentioned the worldwide and decentralized nature of the asset gives quite a lot of alternatives for buyers who need to preserve a stability between threat and return even in unfavourable eventualities. The report additionally famous that regardless of excessive volatility, Bitcoin maintains long-term upside potential.
The report famous that the poor efficiency in 2025 was not an remoted occasion. He recalled that Bitcoin was buying and selling at round $93,500 originally of the 12 months, fell to round $80,000, after which examined historic highs of over $125,000. Nevertheless, the Brazilian actual’s energy towards the greenback widened losses for native buyers. In keeping with TradingView knowledge, Bitcoin’s year-over-year loss in greenback phrases was solely 3.5%, however the decline in actual phrases was 16.2%.
The evaluation additionally added that fast foreign money fluctuations will immediately affect Bitcoin’s efficiency in Brazil. It was famous that the greenback trade charge, which approached R$6.30 in December 2024, gave new energy to the BTC place, highlighting the asset’s operate as a hedge towards foreign money dangers during times of stress. Due to this fact, Itau argued, the true threat could also be not taking a place out there in any respect.
Itau emphasised a disciplined method as a technique. The financial institution mentioned short-term worth predictions typically fail for dangerous belongings. Due to this fact, we suggest adopting a long-term perspective, adjusting positions via common rebalancing, and avoiding impulsive selections based mostly on current volatility. Eid described this method as “a mixture of moderation and resilience.”
The report states that Bitcoin ought to be a complementary somewhat than a central component of a balanced portfolio.
*This isn’t funding recommendation.
