Institutions in a Tight Spot
According to Bitwise Asset Management, individual holders control the majority of the total supply of Bitcoin (BTC). Of the 21 million BTC circulation, 69.4% belong to private investors.
Given the centralized ownership among individuals, large institutions and governments seeking to acquire Bitcoin may face challenges.
Institutions face scarcity when Bitcoin supply drops
In recent X posts, Bitwise outlines the total supply distribution of Bitcoin. Apart from a single holder, about 7.5% of Bitcoin is considered lost. Funding and Exchange Products (ETP) Control 6.1%.
and Satoshi NakamotoBitcoin’s pseudonymous creators account for 4.6%. Moreover, the government and Businesses jointly own 5.8% of Bitcoin.
Asset manager stresses if the company and the company Government wants to get Bitcointhey will mainly need to buy it from individuals willing to sell.
“The market dynamics between buyers and sellers can become very interesting,” the post reads.
Bitwise CEO Hunter Horsley also noted that despite the consistent purchases from companies and ETFs, Bitcoin’s price still faces downward pressure. He also stressed that most of the value of Bitcoin is still in the hands of a single holder.
“Every new buyer has to find a seller. It’s obvious but as important as ever,” Hosley said. additional.
Will the Bitcoin supply shock come?
Meanwhile, only 5.7% of Bitcoin Still to be excavated. also, OTC (Over-Prescription) Market Bitcoin is down. One crypto analyst stressed that only 140,000 BTC remains in the OTC market.
“Even institutions have little bitcoin.” claim.
Analysts explained that ETFs bought 50,000 BTC together last month. However, price movements remain soft. This suggests that institutions come from the OTC market, rather than exchanges to avoid triggering a price surge.
Nevertheless, this strategy may no longer be feasible due to exhaustion of OTC supply.
“The value of entering BTC increases its price by 3-5% per billion dollars. That’s why OTC drying is so crazy,” analysts said.
He added that if MicroStrategy (now strategy) continues its aggressive acquisition or ETFs maintain its January-level accumulation, it could run out of OTC bitcoin. if The United States and the United States begin buying Bitcoin as part of their reserves.
The strategy maintains a consistent Bitcoin acquisition plan. On February 10, the company purchased 7,633 BTC About $744.2 million. Its fifth Bitcoin was purchased in 2025 alone. according to Saylor Trackerthe company now holds 478,740 BTC worth $47.12 billion.
Institutions such as BlackRock also increase supply pressure. It is reported that the asset manager has obtained BTC worth $1 billion in January. In fact, it bought 227 BTC today. Arkham Intelligence Agency.
However, as supply tightens, institutions may soon be forced to buy directly from exchanges, which could make Bitcoin’s price significantly higher.
This supply shock threat could occur as Bitcoin adoption accelerates. On the previous one ReportBlackRock notes that it reaches 300 million users faster than the internet and mobile phones.
Brian Armstrong, CEO Coinbase, also weighing In the adoption schedule comparison.
“Bitcoin adoption should reach billions of people at current prices by 2030,” Armstrong said. predict.
Comparisons depend on how people define the official starting point for Bitcoin, the Internet and mobile phones, he added. However, Armstrong acknowledged that despite these variables, the overall trend remains accurate.
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