Institutional Demand for Bitcoin ETFs Plummets for First Time

A significant decline in institutional investment was observed in Bitcoin exchange-traded funds (ETFs) during the first quarter of 2025, according to a recent report by CoinShares. Institutional exposure to Bitcoin dropped from $27.4 billion in Q4 2024 to $21.2 billion in Q1 2025, marking a notable 23% decrease. This drop primarily reflects a combination of valuation losses due to price depreciation and active selling by investors.