Table content
# Bitcoin Slumps to $97K Amidst Divergent Retail and Institutional Investor Attitudes
* Bitwise’s Matt Hougan highlights that retail mood has plummeted, whereas institutions are “exceptionally optimistic.”
* Ethereum spearheads the downturn, propagating unfavorable feelings.
* Even Trump’s media firm enters the competition for crypto ETFs.
Bitwise’s Chief Investment Officer, Matt Hougan, posits that cryptocurrency investor sentiment is currently markedly split.
“There’s a vast disparity in sentiment between retail and professional investors within the crypto space presently,” Hougan penned on X. “Retail sentiment is at multi-year lows, while professional investors are unusually bullish.”
Information from Glassnode indicates that the count of fresh Bitcoin addresses is lower than in prior periods, implying a decrease in market interest in the asset.
Another perspective is that the sluggish sentiment arises from substantial losses endured by investors in alternative cryptocurrencies.
Bloomberg ETF specialist James Seyffart stated, “It seems as though it’s because retail investors possess a multitude of underperforming altcoins and meme coins.”
Bitcoin prices decreased by 6% to $98,300 this week. Other cryptocurrencies also experienced comparable declines, with Ethereum dropping 18% to $2,716 and Ripple XRP declining 20% to $2.46.
Nevertheless, institutional investors are still observing Bitcoin.
Bitcoin ETFs have amassed $107 billion in 2024, establishing it as the most successful debut in ETF history. They presently manage almost 6% of the overall Bitcoin supply. Michael Saylor and his software enterprise are also behind a considerable number of acquisitions. Strategy, previously MicroStrategy, possesses over 471,000 Bitcoins, valued at $29 billion.
BlackRock is introducing a new Bitcoin ETF in Europe; more significantly, another influential institution is intrigued by its clients’ cryptocurrency exposure.
The media enterprise of ‘Donald Trump’ has declared its intention to seek a “Bitcoin Plus ETF,” indicating a structured investment vehicle encompassing not only Bitcoin but also a broader spectrum of digital currencies.
## Ethereum
The sluggish price behavior of Ethereum is producing considerable unfavorable feelings.
As per CoinGecko, Ethereum has decreased by 50% relative to Bitcoin over the preceding year, with the ETH/BTC proportion reaching a four-year trough. Toncoin (TON) Value Forecast for March 26th
In the meantime, certain key rivals of Ethereum have been acquiring market portion – some dealers even hold the view that XRP is set to seize its second-place standing – yet the cryptocurrency has not managed to surpass its prior all-time peak of $4,848.
Regardless, establishments are still making acquisitions.
Data from Coinglass reveals that institutional ETH acquisitions have persisted for six successive days, with the second-largest single-day influx occurring on February 4th. Organizations incorporated over 106,000 Ethereum into their holdings.
Nevertheless, in accordance with Hougan, the disparity in sentiment between retail and institutional investors persists as substantial.
“It resembles inhabiting two entirely distinct realms,” he stated.
