Bernstein: Bitcoin shows strong resilience, and institutional adoption will make Bitcoin more robust

ChainCatcher message, broker Bernstein stated that Bitcoin has shown strong resilience, especially after a recent market turmoil where it dropped 26%, which is smaller compared to past declines of 50-70%, indicating strong demand. Tariffs have hurt Bitcoin mining companies, but U.S. alternatives and AI opportunities provide support. Bitcoin's performance still resembles that of tech stocks rather than gold, but at market close, Bitcoin can act as a liquidity risk asset. In the long run, Bitcoin is very much like a more volatile and liquid version of gold (approximately $2 trillion, while the gold market is $20 trillion).

Institutional adoption through ETFs and corporate bonds (accounting for 10% of supply) has made Bitcoin more robust. Although Bitcoin has dropped 15% year-to-date, ETF inflows remain positive, with selling pressure mainly coming from short-term traders.