Institutions Ride Out Bitcoin Price Correction, See it as Long-Term Asset

Major institutional investors have not sold their Bitcoin holdings despite a sharp price correction from $125,000 to $60,000, according to a report by Bitwise. In fact, some institutions increased their holdings during this period, highlighting a trend of viewing Bitcoin as a long-term asset allocation tool rather than a short-term trading target.

Bitwise's research head Ryan Rasmussen presented the company's first institutional crypto adoption report on September 29. He stated that pension funds, foundations, endowments, and sovereign wealth funds see Bitcoin, alongside gold, as an asset to guard against currency value dilution.

Rasmussen said none of the 15 major institutions Bitwise interviewed sold their Bitcoin holdings during the price decline. In fact, a substantial number increased their Bitcoin holdings during this period.