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

Market News
29 May 2026, 02:19 WIB
Blockonomi
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Bullish
Institutional ETF demand boosts Bitcoin, while altcoin buying slows amid crypto-native trader decline.

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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