Institutional investors hold Bitcoin despite 50% market decline

Institutional investors, including university endowments, pension funds, and sovereign wealth funds, maintained their cryptocurrency holdings despite a market decline of approximately 50% between October 2025 and April 2026. According to a report by Bitwise, which interviewed 15 major investment managers, none of the respondents reduced their crypto positions during this period, with some even increasing their holdings.

Investors largely distinguish Bitcoin from other digital assets, treating it as a store of value often compared to gold. In contrast, assets such as Ethereum and Solana are viewed more selectively, treated as technological or venture-style bets with shorter holding periods.

Allocations typically range from 0.5% to 13% of total assets under management, though most investors maintain positions between 1% and 2%. The interviewed managers indicated they would only exit their positions in the event of a fundamental shift in the investment thesis, such as major regulatory changes or industry-wide scandals, rather than due to price volatility.