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Bitcoin bear market shifts dominance to institutional investors as retail sell-off accelerates

Market News
04 Aug 2026
Crypto Briefing
View Source
Bullish
Bitcoin bear market shifts dominance to institutional investors as retail sell-off accelerates

In the first half of 2026, institutional investors like hedge funds and asset managers have taken over Bitcoin trading, making up 72% of OTC spot volume, up from 61%. Retail investors, who traditionally bought during dips, are now selling aggressively, with small wallets showing near-zero accumulation scores. Meanwhile, Bitcoin ETFs have attracted $60 billion in net inflows since their 2024 launch, showing strong institutional conviction despite a 50% price drop. Experts say this shift reflects deliberate, high-conviction institutional strategies, suggesting a more stable foundation for Bitcoin if ETF outflows remain low. A significant rise in ETF outflows could signal a change in institutional confidence.

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