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Institutional ETF demand boosts Bitcoin, while altcoin buying slows amid crypto-native trader decline.

Market News
28 May 2026
Blockonomi
View Source
Bullish
pluang ai news

Since U.S. approval of spot Bitcoin ETFs in early 2024, institutional investment through retirement and brokerage accounts has increased Bitcoin demand, leading to a decline in exchange BTC reserves and signaling long-term accumulation. This shift means Bitcoin is now supported by steady institutional inflows, helping maintain price resilience despite weaker crypto-native trading activity. In contrast, altcoins continue to rely on crypto-native buyers, whose reduced activity has caused liquidity and price challenges for these assets. The crypto market is transitioning from a crypto-native driven cycle to one increasingly influenced by traditional finance through ETFs, creating two distinct demand ecosystems for Bitcoin and altcoins.

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