Bitcoin (BTC) Fund Flows to Reach $120B by 2025

A recent crypto index management firm Bitwise report revealed that fund flows into Bitcoin (BTC) are expected to reach $120 billion by the end of 2025 and jump to $300 billion by 2026.

The recent crypto index management firm Bitwise report revealed that fund flows into Bitcoin (BTC) are expected to reach $120 billion by the end of 2025 and jump to $300 billion by 2026.

In the best-case scenario, the total flow of funds could reach $426.9 billion.

This surge is triggered by the increasing interest of institutional investors, sovereign funds, Bitcoin ETFs, and public companies that have started holding BTC as a reserve asset.

With 94.6% of the total Bitcoin supply already mined as of May 2025, this demand pressure from various parties reinforces the narrative that Bitcoin is increasingly seen as a hedge against inflation and fiat currency weakness.

Bitcoin and Corporate ETFs are the main engines of growth

Bitwise stated that spot-based Bitcoin ETFs in the United States recorded inflows of IDR 592 trillion ($36.2 billion) throughout 2024.

This surpasses the early success of the legendary gold ETF, SPDR Gold Shares (GLD), which revolutionized how investors invest in gold.

In fact, Bitcoin ETFs managed to reach a total of IDR 2,044 trillion ($125 billion) in assets under management in just 12 months—20 times faster than GLD.

This speed of adoption is a strong indicator that Bitcoin has the potential to surpass gold as the ultimate store of value. Bitwise projects that Bitcoin ETFs could attract up to IDR 1,636 trillion ($100 billion) per year by 2027.

Read also: 5 Crypto ICOs to Watch Before Prices Rise High in 2025

Pent-up demand from large institutions ready to explode

Despite the high inflows, around IDR 572 trillion ($35 billion) of demand for Bitcoin is still on hold in 2024.

This is due to the strict compliance policies of large institutions such as Morgan Stanley and Goldman Sachs, which manage more than Rp981,780 trillion ($60 trillion) in assets. They are still waiting for a longer track record of Bitcoin ETFs before jumping in.

However, with the growing legitimacy of Bitcoin ETFs, Bitwise predicts that these barriers will soon be overcome.

As giant institutions begin to relax their requirements, a massive wave of funds is expected to flood the cryptocurrency market, particularly Bitcoin (BTC).

Also read: These 3 Altcoins are Predicted to Beat the Rise of Bitcoin (BTC)!

Countries and Companies Start to Use Bitcoin as Reserve

According to Bitwise, publicly traded companies currently hold around 1,146,128 BTC or the equivalent of IDR 2,044 trillion ($125 billion), representing 5.8% of the total Bitcoin supply.

Meanwhile, countries such as the United States (207,189 BTC), China (194,000 BTC), and the United Kingdom (61,000 BTC) collectively hold more than 529,705 BTC worth IDR 946 trillion ($57.8 billion).

The report mentions that Bitcoin’s appeal as a reserve asset is increasing among the public and private sectors. This is a sign that cryptocurrencies are now not only loved by individuals, but also recognized by large entities as part of a long-term financial strategy.

Also read: 3 Must-Buy Investor’s Choice Crypto Presale in June 2025!

Three Scenarios: Bearish, Normal, and Bullish

Reporting from Cointelegraph, in a pessimistic (bear) scenario, Bitwise predicts an inflow of IDR 528 trillion ($32.3 billion) from countries allocating 1% of their gold reserves to Bitcoin. Add to that IDR 106 trillion ($6.5 billion) from US states and IDR 963 trillion ($58.9 billion) from public companies, the total could reach more than IDR 2,457 trillion ($150 billion).

The base case scenario includes reallocating 5% of the country’s gold reserves to BTC with inflows of IDR 2,643 trillion ($161.7 billion). Public companies are predicted to double their holdings to IDR 1,926 trillion ($117.8 billion), and wealth management platforms contribute IDR 4,909 trillion ($300 billion).

In a bullish scenario, Bitcoin could potentially absorb more than IDR 6,981 trillion ($426.9 billion) in funds, assuming countries shift 10% of their gold reserves to BTC. This scenario also involves massive adoption by US states, wealth managers, and public companies holding more Bitcoin.

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