Institutional appetite for Bitcoin continues to build, even as retail investors pull back amid recent market volatility. On-chain data suggests large holders are still accumulating, reinforcing the view that institutional participation in crypto remains in its early stages.
According to CryptoQuant, wallets holding between 100 and 1,000 Bitcoin have added roughly 577,000 BTC over the past year. That cohort, which excludes miners and exchange wallets and includes entities such as exchange-traded funds, is commonly used as a proxy for institutional demand.
“Institutional demand for Bitcoin remains strong,” CryptoQuant founder Ki Young Ju said on Tuesday, noting that accumulation in this wallet range is ongoing. Excluding exchanges and miners, he added, offers a clearer read on how professional investors are positioning.
ETF-era accumulation continues
CryptoQuant data shows holdings in this wallet band have risen about 33% over the past 24 months, a period that roughly coincides with the launch of spot Bitcoin exchange-traded funds in the United States. Since the start of this year, U.S. spot Bitcoin ETFs have attracted around $1.2 billion in net inflows, even as Bitcoin itself is up only about 6% over the same period.
The combination of steady ETF inflows and on-chain accumulation suggests institutions are still building exposure rather than trading tactically. Commenting on the trend, political economist known as Crypto Seth said institutional allocations to Bitcoin and Ethereum are only just beginning, arguing that long-term adoption horizons extend well beyond the current cycle.
Digital asset treasuries add to demand
Beyond ETFs, digital asset treasuries are also contributing to Bitcoin accumulation. Companies holding Bitcoin as a treasury asset, led by Michael Saylor’s Strategy, have acquired about 260,000 BTC since July. At current market prices, that stash is valued at roughly $24 billion.
On-chain analytics from Glassnode indicate this represents a 30% increase in treasury holdings over the past six months, a pace that has exceeded new Bitcoin supply from miners. Collectively, these entities now hold more than 1.1 million BTC, underscoring how corporate balance sheets have become a significant source of demand.
Retail sentiment turns cautious again
While institutions continue to accumulate, retail sentiment has weakened. The Bitcoin Fear & Greed Index slipped back into “fear” territory this week, registering a score of 32 out of 100 on Tuesday. That reversal came just days after the index briefly moved into “greed” for the first time since October.
The shift in mood followed a pullback in Bitcoin prices from last week’s highs near $97,000 to below $92,000. Markets reacted to rising geopolitical and macroeconomic uncertainty, particularly escalating trade tensions between the United States and Europe, which weighed on broader risk assets.
What to watch next
The divergence between institutional accumulation and cautious retail behavior highlights a familiar pattern seen in previous cycles, where long-term capital builds positions during periods of uncertainty. Whether that demand can offset macro-driven volatility in the near term will likely depend on ETF flows, corporate treasury activity, and how global markets respond to ongoing trade and policy developments.
This report is based on the provided source material and cited analytics; independent confirmation beyond those disclosures was not available in the provided information.
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