Professional ownership of US spot Bitcoin exchange-traded funds (ETFs) declined sharply in the first quarter as Bitcoin’s bear market deepened, suggesting that trading-oriented institutions were a significant source of selling pressure during the downturn.
A new report by CoinShares analyzing quarterly 13F filings, regulatory disclosures that reveal the equity holdings of investment managers with at least $100 million in assets, found that professional investors reduced their Bitcoin ETF exposure to 261,000 BTC from 313,000 BTC in the first quarter, a 17% decline.
The combined value of those holdings fell 35% to $17.8 billion, while the share of total US Bitcoin ETF assets held by 13F filers declined to 20.8% from 24.7%.
The selling was heavily concentrated among hedge funds and brokerages, which accounted for roughly 96% of the reduction in exposure. Hedge funds cut their holdings by 31,400 BTC, or 39%, while brokerages reduced exposure by 18,800 BTC, a 53% decline.
The decline in professional ownership coincided with a sharp correction in Bitcoin’s price. The asset’s value fell 22% during Q1, extending declines from late 2025 and briefly dropping below $60,000. At its lowest point, Bitcoin was down roughly 50% from its October 2025 all-time high above $126,000.
Professional @Bitcoin ownership faced its first real ETF-era bear market test.
As our latest report by Matthew Kimmel (@bc1matt) shows, 13F holdings fell 17% in Q1, but the selling was highly concentrated.
Hedge funds and brokerages drove most of the reduction, while advisors… pic.twitter.com/4jr50bmDJh
— CoinShares (@CoinSharesCo) June 4, 2026
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