The Bitcoin market, valued at $2.1 trillion, is undergoing a significant transformation. Long-term holders, or "whales," have been transferring control to institutional investors. This shift is reshaping Bitcoin's identity from a high-risk trade to a more stable investment allocation.
Over the past year, whales have sold over 500,000 Bitcoin, valued at over $50 billion. This mirrors the net inflows into U.S. exchange-traded funds (ETFs) since their approval. Bitcoin is currently trading near its record high of $109,641.
Institutional players now hold about a quarter of all Bitcoin in circulation. In 2020, approximately 2% of anonymous ownership accounts controlled 95% of all Bitcoin. This transition is contributing to a more mature market.