Deep Trend TechFlow news, Matrixport’s latest report pointed out that although Bitcoin has rebounded more than 300% since the end of 2022, retail participation remains sluggish, the market is dominated by institutional investors, and volatility has dropped to 41%, lower than the 5-year average (60 %). As retail participation decreases, Bitcoin is increasingly dominated by institutional investors, resulting in lower volatility. This remarkable shift from retail to institutions was further evidenced by the unwinding of retail positions in South Korea as Bitcoin fell below $60,000. Meanwhile, ETFs continue to see steady inflows.
The report also shows that most of the declines over the past 30 days occurred during the Asian trading hours, accounting for -13% of the overall decline of -15%, mainly affected by South Korean retail trading activities. Google Trends data shows that the trend of Bitcoin searches has dropped from 100% in 2017 to 41% in 2024, indicating that retail investors have limited interest but increased awareness. The trading volume of Korean exchanges is closely related to the annualized funding rate of Bitcoin. Korean retail investors play an important role in the altcoin market, bringing a large number of leverage opportunities.
