Bitcoin’s recent price decline below $70,000 is being interpreted differently by investor groups, according to Bitwise CEO Hunter Horsley. He stated long-time holders feel unsure while institutions see a buying opportunity. Horsley noted Bitcoin is in a bear market and trading alongside other liquid macro assets like gold and silver, which have also fallen from recent highs. Despite the downturn, institutional demand remains strong, with Horsley citing over $100 million in single-day inflows to Bitwise funds.
Bitcoin’s drop below $70,000 is creating divergent sentiment between long-time holders and institutional investors. Bitwise CEO Hunter Horsley said during a CNBC interview that institutions are “seeing prices they thought that they’d forever missed.“
This decline contrasts with earlier analyst expectations, such as from Standard Chartered‘s Geoff Kendrick, who said in October he didn’t expect Bitcoin to fall below $100,000 again. Bitcoin has fallen 22.60% over the past month, according to CoinMarketCap data.
Horsley acknowledged the sell-off is unusual given improving regulatory clarity. He stated Bitcoin is “getting swept up” with other macro assets as investors sell liquid holdings.
Other commodities have similarly retreated from recent peaks. Gold has fallen 11.43% from its late-January all-time high, according to Trading Economics. Silver has declined nearly 36% from its record high set around the same time.
Despite the bear market, Horsley pointed to sustained institutional demand. He noted Bitwise manages over $15 billion and saw more than $100 million in inflows on a single day recently.
Retail curiosity has also spiked during the volatility. Worldwide Google searches for “Bitcoin” reached their highest level in a year as prices fell. Meanwhile, BlackRock‘s spot Bitcoin ETF recorded $231.6 million in inflows last Friday following earlier outflows.
