Bitwise Head of Research: Sovereigns Selling Gold for Bitcoin | Ryan Rasmussen
Bitwise's research reveals that major institutions did not sell Bitcoin during its price drop from $125K to $60K, with many increasing holdings. Sovereign wealth funds are reportedly selling gold to buy Bitcoin, treating it as a hedge against debasement. The report highlights Bitcoin's lack of correlation with traditional assets and the role of ETFs in mitigating market downturns.
How this was made
The 30-second read
Why it matters
The report provides fresh data on institutional Bitcoin demand, which could influence market sentiment and price dynamics.
Market read
New evidence of institutional Bitcoin buying may drive price appreciation and support ETF inflows.
What to watch
Potential policy changes or central bank actions could quickly reverse the inflow trend.
Background
Bitwise released its first institutional crypto adoption report, highlighting allocations by pensions, endowments, foundations, and sovereign wealth funds.
Ticker impact
Bitwise’s new institutional crypto adoption report shows sovereign wealth funds and other large institutions buying Bitcoin, indicating fresh demand.
likely upward pressure as the market prices in new institutional allocations
The report cites new weekly ETF inflows of $2.5B and direct purchases by sovereign funds, which are fresh demand drivers.
Market effects
Strengthens the narrative of growing institutional acceptance of crypto assets.
May boost demand for Bitcoin in regions where sovereign funds are active.
Signals a shift in global asset allocation toward digital gold.
Counterpoint
Institutional buying could be short‑term speculation; long‑term regulatory risk remains.
Key entities
- CompanyBitwise
Asset manager publishing the institutional crypto adoption report.
