Majority of Institutional Investors Increased Bitcoin ETF Holdings in Q2: Bitwise
Ruholamin Haqshanas is a contributing crypto writer for CryptoNews. He is a crypto and finance journalist with over four years of experience. Ruholamin has been featured in several high-profile crypto...
A growing number of institutional investors are bolstering their Bitcoin holdings through U.S.-based spot exchange-traded funds (ETFs), according to recent data from Bitwise.
In the second quarter of 2024, approximately 66% of these investors either maintained or increased their Bitcoin ETF positions.
Bitwise’s analysis of 13F filings submitted to the Securities and Exchange Commission (SEC) reveals that 44% of asset managers expanded their Bitcoin ETF holdings during the quarter, while 22% chose to hold steady.
Meanwhile, only 21% of institutional investors reduced their positions, and a smaller 13% decided to exit entirely.
Matt Hougan, Bitwise’s Chief Investment Officer, described the retention and growth in Bitcoin ETF holdings as a positive sign, comparable to trends observed with other ETFs.
“The trend is intact,” Hougan stated in an X post on August 15, highlighting the resilience of institutional investors despite a 14.5% decline in Bitcoin’s value over the quarter.
Hougan noted a significant increase in the number of holder/ETF pairs, which rose from 1,479 in Q1 to 1,924 in Q2, marking a 30% surge.
The uptick occurred even as Bitcoin prices fell, showcasing the steady hand of institutional investors who, unlike retail investors, are less likely to panic sell during periods of market volatility.
“Data suggest that institutional investors are not quick to flee at the first sign of volatility,” Hougan commented.
He also pointed out that hedge funds such as Millennium, Schonfeld, Boothbay, and Capula were among the major ETF
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