Analysts at Wall Street brokerage Bernstein say Bitcoin’s (CRYPTO: $BTC) “store of value” thesis remains intact despite the downturn in the largest cryptocurrency by market capitalization.
In a new report, analysts at Bernstein say that the long-term store-of-value thesis for Bitcoin is unchanged despite a slower capital allocation cycle and a reduction in retail investor activity.
The report notes that net inflows into spot Bitcoin exchange-traded funds (ETFs) and treasury companies this year stand at $12 billion U.S. compared with $60 billion U.S. in 2025.
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However, ETFs account for only about $2.6 billion U.S. in net outflows this year, meaning that most of the selling has been driven by crypto treasury companies throwing in the towel.
“In a market completely dominated by retail’s obsession with AI, mere $2.6 billion outflows YTD are almost encouraging,” reads the Bernstein report.
“Bitcoin being boring this cycle should not be held against it and does not take away from the long term ‘store of value’ thesis, in our view,” adds the brokerage.
Like other analysts, Bernstein blames the current selloff in cryptocurrencies largely on investors shifting capital into stocks associated with the artificial intelligence (A.I.) trade.
Bitcoin is currently trading right around $63,000 U.S. but remains 50% below its all-time high of $126,000 U.S. reached last October.
The benchmark cryptocurrency fell to its lowest level in more than two months on June 5, pressured by continued outflows from spot Bitcoin ETFs and macroeconomic uncertainty.
The SpaceX initial public offering (IPO) that’s taking place on June 12 is also drawing a lot of interest from investors, particularly the retail crowd, further hurting digital assets.
Bernstein is privately held and its stock doesn’t trade on a public exchange.
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