Bitcoin Accumulation: Data Shows Institutions Are Net Buyers Again

Overview

Recent on-chain data indicates a shift in institutional behavior towards Bitcoin, with entities starting to accumulate the cryptocurrency again after a period of net selling. This change in sentiment could have significant implications for Bitcoin’s price trajectory.

Institutional Accumulation Resumes

According to information shared by Capriole Investments founder Charles Edwards, institutions have transitioned back to being net buyers of Bitcoin. This marks a notable change from their previous behavior, which saw them selling Bitcoin starting in October, coinciding with a bearish trend in the market following a price peak that exceeded $126,000.

The selling phase persisted until December, during which Bitcoin entered a period of consolidation. As the new year began, the data suggested a potential shift in institutional behavior, indicating a move towards net accumulation. Edwards provided a chart that illustrates this trend and highlights the price movements that have historically followed similar shifts in institutional buying behavior.

Historically, when institutions have shifted to net buying, Bitcoin has experienced significant price increases. On average, Bitcoin has risen 109% after such signals have emerged, although individual outcomes have varied widely. For instance, following a similar indication in 2020, Bitcoin surged by 390%, while in 2024, it experienced a decline of 13%. The last occurrence of this signal was in the first half of 2025, leading to a price increase of 41%.

Treasury Companies and Their Role

A key component of the current institutional buying trend is the activity of treasury companies, which are significant players in the cryptocurrency market. Like other institutional investors, these treasury companies were net sellers of Bitcoin late last year. However, Edwards has noted that the 30-day rate of change in the Buy-Sell Ratio associated with BTC treasuries has recently turned positive, indicating a shift back to net buying as of 2026.

Despite the bearish market conditions, one of the largest corporate treasury holders of Bitcoin continued to accumulate the asset, although their buying was not sufficient to prevent the overall Buy-Sell Ratio from falling into negative territory in November.

From author

The re-emergence of institutional buyers could signal a turning point for Bitcoin. The historical patterns suggest that institutional accumulation often precedes significant price movements, although the exact outcomes can vary. As institutions resume purchasing Bitcoin, it highlights a potential recovery in market sentiment and investor confidence.

Impact on the crypto market

• Institutional buying activity may lead to increased demand for Bitcoin, potentially driving prices higher.
• The shift in treasury companies to net buying could enhance market stability and confidence among investors.
• Historical data points to the possibility of significant price increases following similar institutional behavior, which could attract further investment.
• A resurgence in institutional interest may influence retail investor sentiment, resulting in a more bullish market atmosphere.
• The change in accumulation patterns could provide a counterbalance to previous bearish trends, suggesting a potential recovery phase for Bitcoin.