Institutions Stick to Crypto Allocations Amid Market Volatility

A recent survey by Bitwise found that most institutional investors have allocated between 1% and 2% of their investable assets to cryptocurrencies. The study, which interviewed 15 institutions across various categories, revealed that none of these investors reduced their crypto exposure during the roughly 50% market decline from October 2025 through April 2026.

In fact, several institutions increased their positions despite the price drop. Bitcoin was found to be the most popular digital asset among respondents, with every institution holding it as its first and largest position. Many framed Bitcoin as a store-of-value similar to gold, while others held it as part of a market-cap-weighted portfolio.

The survey also highlighted the growing use of spot crypto ETFs among institutional investors. Almost all respondents either used or planned to use these products, citing lower costs and operational burdens. However, some institutions still face governance constraints on allocating larger amounts to cryptocurrencies.