TLDR:
Bitcoin dropped 48% from ~$126K in Oct 2025, now trading near $66K amid heavy negative sentiment.
U.S. holds 328,372 BTC in its Strategic Reserve; states like Texas, Arizona, New Hampshire joined in.
Institutions absorbed ~697K BTC in 2025, over 4x the ~164K BTC produced post-halving that year.
Only ~3.02M BTC remain on exchanges; ETFs and Strategy alone control ~1.97M of that supply.
Bitcoin is trading near $66,000, down roughly 48% from its October 2025 peak of approximately $126,000. Sentiment across crypto markets has turned sharply negative.
Headlines suggest the rally is finished and the momentum has faded. But a closer look at who owns Bitcoin tells a very different story.
Sovereign Governments and Institutions Are Buying Bitcoin at Record Levels
The United States now holds 328,372 BTC in its Strategic Bitcoin Reserve. Texas has gained exposure through a Bitcoin ETF. New Hampshire and Arizona have both passed reserve legislation. More states are moving toward similar positions.
Internationally, Abu Dhabi’s sovereign wealth fund Mubadala disclosed a significant Bitcoin ETF position. That marks a notable shift. Sovereign capital is no longer observing from the outside.
Corporate treasuries have accelerated alongside government buying. Strategy alone holds approximately 713,000 BTC. Institutions absorbed roughly 697,000 BTC throughout 2025, according to available data.
Post-halving, Bitcoin produces only about 164,000 new coins per year. That means institutional demand in 2025 ran at more than four times the rate of new supply.
Bitcoin’s Tradeable Supply Is Shrinking as Strong Hands Absorb the Float
Approximately 20 million BTC have been mined to date. Only about 3.02 million currently sit on exchanges. That is the pool available for active trading.
ETFs hold roughly 1.26 million BTC. Strategy holds around 713,000 BTC. Combined, those two categories control approximately 1.97 million BTC. That figure represents close to two-thirds of current exchange supply.
Bitcoin is not priced on total coins in existence. It clears on the small fraction still available to buy. That available fraction keeps contracting.
Price reflects fear. Supply structure reflects absorption. The divergence between those two signals is growing wider, not narrower.
Post shared by analyst David on X, framing it as an ownership shift story rather than a price story. The data support that framing. Buyers are not retail traders chasing momentum. They are governments and institutions with long holding horizons.
When scarce assets migrate to holders who do not face selling pressure, price dynamics change. The margin where Bitcoin actually trades keeps getting thinner.
