Bitcoin and Ether Treasuries Have “Vanished” Since the Crypto Market Crash
Public companies holding Bitcoin and Ether have almost completely paused their accumulation since the market downturn in early October, signaling a notable decline in institutional confidence.
According to David Duong, Head of Global Institutional Research at Coinbase, digital asset treasury (DAT) firms specializing in Bitcoin purchases “have largely stepped back from the market since the October 10 price drop and have yet to return.” He added, “Over the past two weeks, BTC buying activity from DATs has fallen to its lowest level of the year, with no meaningful recovery — even during short-term price rallies.”
The slowdown in crypto purchases reflects growing caution, especially as the market value of several crypto treasury firms is now closely aligned with the value of their underlying holdings. Meanwhile, share prices of these companies have cooled after previous strong rallies.
Between October 10 and 11, Bitcoin plunged by 9%, from around $121,500 to below $110,500. Earlier this month, BTC even dipped below $105,000 before rebounding to nearly $114,000, where it has traded steadily over the past 24 hours.
BitMine Keeps Buying While Others Retreat
Duong noted that the pullback from large Bitcoin-buying firms is particularly significant, as these players typically possess deep financial reserves and strong conviction. Their retreat since October 10 suggests that market confidence among major institutional buyers remains fragile.
“This decline in buying activity shows that large investors are staying cautious after the recent leverage wipeout — even at price levels seen as strong support,” Duong added.
In contrast, BitMine Immersion Technologies, a treasury firm focused on Ether, has been the only major player consistently buying throughout the market downturn. Data shows that since October 10, BitMine has spent over $1.9 billion to acquire roughly 483,000 ETH.
Ether mirrored Bitcoin’s slide earlier this month, dropping more than 15% to $3,686 between October 10 and 11 before recovering slightly to around $4,130.
BitMine’s continued accumulation, along with smaller contributions from other funds, has helped push total ETH treasury purchases into positive territory over the past week, according to Duong.
However, he warned that if BitMine slows or pauses its buying activity, overall institutional demand for crypto assets could weaken once again.
“We believe this warrants a cautious short-term stance from investors,” Duong concluded. “The market could become increasingly fragile as the largest balance sheets remain on the sidelines.”
