There is an investor portfolio allocation to Crypto We reached an annual high of 1.8% As of April 29th, according to a recent report published by Coinshares.
This report is attributed to recent price movements and improved sentiment in the crypto market. That discovery is We provide institutional, individual, and wealth manager positions across asset classes based on survey data and support for 13F filing.
In particular, the institutional portfolio exhibits an average crypto allocation of 2.5%, reflecting a large shift in chain exposure.
While individual investors maintain the highest absolute weighting in crypto, this report highlights the growing commitment between institutions and family offices.
Bitcoin controls allocation
Bitcoin (BTC) continues to lead among Crypto Holdings as 63% of survey respondents have confirmed exposure, starting from 48% in January. Ethereum (ETH) remains in second place with nearly 20%, while Solana (Sol) continues with 17%.
Other Altcoins, including Polkadot (DOT), Cardano (ADA), and XRP, suggest that they are rarely registered in their investor portfolios, suggesting a move away from the broader diversification of crypto holdings.
The focus on Bitcoin is consistent with investors reassessing Altcoin’s risks and increasing the comfort of Bitcoin’s relative liquidity, infrastructure and perceived regulations clarity.
This trend is evident despite the continued relevance of Ethereum and growing interest in alternatives other than the top two digital assets.
Respondents primarily cited diversification (30%) as the main reason for including cryptography, and were subsequently interested in distributed ledger technology and speculative motivation.
Although client demand declined compared to the previous quarter, speculative interest has increased, suggesting a reassessment of Crypto’s role in the multi-asset portfolio.
Volatility and regulations remain our biggest concern
Despite Bitcoin’s recent volatility lower than stocks, volatility remains a major barrier to new crypto investments.
The persistence of this concern highlights the discrepancy between investor perceptions and observed performance of assets during recent market turmoil. Volatility was also a major ongoing concern among respondents who were already assigned to cryptography.
Meanwhile, regulatory uncertainty remains the second reported barrier to intrusion, consistent with previous investigations. Investors also reported concerns about reputational risks and weak foundations, but not so much.
The report says expectations that regulatory and political risks will decline following the executive order issued at the beginning of the year have not yet been realized. Meanwhile, previously cited risks, such as quantum computing, are less relevant.
The report also provided a broader macroeconomic background that informs investors’ sentiment. Despite the possibility of headwinds from the fear of tariff-related economic fallout and stagflation, many respondents have a good view of the current policy direction of the Federal Reserve, but a significant portion remains undecided.
Disclaimer: Cryptoslate received a grant from the Polkadot Foundation to produce content related to the Polkadot Ecosystem. While the foundation supports our coverage, we maintain full editorial independence and control over the content we publish.
