Institutional net buying of bitcoin has historically been a strong indicator of significant price rallies. the shift from net selling to net accumulation by large entities suggests substantial capital inflow.
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On-chain data indicates institutions have turned into net buyers again, a pattern that historically led to an average bitcoin price increase of 109%, and 41% in the last instance. treasury companies are also flipping to net buying.
Past instances of institutional accumulation leading to price surges (e.g., 390% in 2020, 41% after the 2025 signal) suggest a sustained, longer-term impact rather than immediate short-term fluctuations.
Reason to trust Strict editorial policy that focuses on accuracy, relevance, and impartiality Created by industry experts and meticulously reviewed The highest standards in reporting and publishing How Our News is Made Strict editorial policy that focuses on accuracy, relevance, and impartiality Ad discliamer Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio. After a phase of net Bitcoin selling, on-chain data suggests institutional entities have started accumulating the cryptocurrency once more. Bitcoin Rose Over 41% The Last Time Institutions Turned Into Net Buyers As pointed out by Capriole Investments founder Charles Edwards in an X post , institutions have once again turned into net buyers of Bitcoin. Below is the chart shared by Edwards that shows the trend in institutional behavior over the last few years. The value of the metric appears to have turned green in recent days | Source: @caprioleio on X From the graph, it’s visible that institutional investors switched their behavior to selling back in October as Bitcoin observed a bearish shift following its price top above $126,000. Related Reading Bitcoin Miner Capitulation Ends: Hash Ribbons Flash Buy Signal 18 hours ago The distribution calmed down as the cryptocurrency stabilized into a phase of consolidation in December, with a turn to positive levels starting to appear. The metric has now grown further in the new year, a potential sign that institutional behavior may really be changing to one of net accumulation. In the chart, the analyst has highlighted the price moves that followed shifts to net buying from these humongous traders in the past. It would appear that, on average, Bitcoin rose 109% after this signal appeared. Though the individual outcomes have seen high variance, ranging from a rally of 390% after the 2020 signal to a drop of 13% in 2024. The last time that the signal appeared was in the first half of 2025 and what followed was a price surge of 41%. It now remains to be seen how the cryptocurrency’s price will be affected this time around. A notable pillar of institutional buying in the sector today is represented by the treasury companies . Like the wider institutional behavior, these entities were also net sellers of Bitcoin late last year, as Edwards has highlighted in another X post . How the 30-day rate of change in the Buy-Sell Ratio of BTC treasuries has changed | Source: @caprioleio on X The above chart shows the trend in the 30-day rate of change in the Buy-Sell Ratio associated with BTC treasuries, a metric that compares their cumulative USD buying against selling. It would appear that the indicator has just flipped positive in 2026. “Bitcoin treasury companies just flipped to net buying again,” noted the analyst. Related Reading PEPE Explodes 62%, But Analyst Warns Of Breakdown Retest 1 day ago Strategy , the largest corporate treasury holder of the cryptocurrency in the world, kept accumulating even as the asset observed its bearish shift. But the buying from the firm wasn’t enough, as the rate of change in the Buy-Sell Ratio still plunged into the negative zone In November. BTC Price Bitcoin has shown a move away from stagnation during the last few days as its price has climbed back to the $93,800 level. The trend in the price of the coin over the last five days | Source: BTCUSDT on TradingView Featured image from Dall-E, charts from TradingView.com