Bitcoin has maintained stability around $80,000 throughout a month marked by concerns over the artificial intelligence sector, according to Alex Thorn, head of firmwide research at Galaxy Digital. On Thursday, Thorn attributed Bitcoin’s resilience to the fact that those most likely to react to recent AI-driven volatility have already exited their positions in the cryptocurrency.
Investor behavior drives Bitcoin stability
Appearing live on the Unchained podcast, Thorn observed that, despite widespread anxiety surrounding the AI trade in recent weeks, Bitcoin’s price has held steady. “People ask why Bitcoin’s been so resilient around 80 while everybody has a wall of worry meltdown about the AI trade the last month,” Thorn stated, noting that those affected by AI volatility do not currently have Bitcoin in their portfolios. He said, “It’s ’cause none of the people freaking out about AI own Bitcoin.”
He further explained that the investors prone to selling amid such volatility had “already gotten out of the trade,” leaving more steadfast holders to support Bitcoin’s price.
Those experiencing anxiety over AI trades are not currently holding Bitcoin, as they have already exited the market. This shift has left the cryptocurrency less affected by the recent sentiment swings seen in tech-focused assets.
Recent movements and market data
Coinbase data shows Bitcoin’s lowest daily close in the last month occurred on October 26, closing at $80,009, with an intraday low of $79,107 recorded two days earlier. By Thursday at 4:06 p.m. ET, Bitcoin was trading at $80,457, indicating limited volatility during a period of heightened market uncertainty elsewhere.
Thorn suggested that some recent concerns surrounding the AI sector have lessened, referencing positive earnings from SK hynix, a rebound in Korea’s Kospi index, insights from Oracle’s investor day, and the Federal Reserve’s decision to maintain interest rates after Wednesday’s meeting. He reiterated Galaxy Digital’s long-term positive outlook on Bitcoin.
ETF flows: Hedge funds reduce, wealth managers accumulate
Thorn reported that “macro and multi-strat fast money hedge funds” were the primary sellers of spot Bitcoin ETF shares, based on analysis of quarterly 13F filings that detail the ETF holdings of large asset managers. In an essay published by Galaxy Digital, nine filers—including Goldman Sachs Group, Millennium Management, and Capula Management—reduced their holdings by 29% to 100%, collectively offloading approximately 68,000 BTC.
According to Thorn, these sellers were largely trading-oriented firms such as hedge funds, ETF-futures basis traders, and bank trading desks.
On the other hand, Galaxy identified new buyers on the wealth management side: notably, Mubadala (the Abu Dhabi Investment Council) and Morgan Stanley’s wealth-management division increased their spot Bitcoin ETF exposure. Thorn noted that wealth managers typically adopt a long-term investment horizon and may adjust their portfolios on a quarterly schedule.
Combined ETF holdings among all 2,200 filers fell by 14%, from 355,000 BTC on September 30, 2025, to 307,000 BTC by June 2026. The 48,000 BTC net drop across all filers is smaller than the 68,000 BTC that the top nine sellers divested.
| Group | Action | BTC Amount | Period |
|---|---|---|---|
| Top 9 sellers (hedge funds, trading desks) | Reduced holdings | 68,000 BTC | Q3 2025 – Q2 2026 |
| All 2,200 filers (ETF holders) | Net reduction | 48,000 BTC | Q3 2025 – Q2 2026 |
| Wealth managers (e.g., Mubadala, Morgan Stanley) | Increased holdings | Not specified | Same period |
Upcoming ETF filings
The latest round of spot Bitcoin ETF filings, covering the quarter that ended September 30, are due by Monday, November 16. Thorn highlighted that the largest filers typically submit their disclosures at the last possible moment, which will provide updated insight into who maintained exposure to Bitcoin ETFs after the period captured in Galaxy’s previous report.
Galaxy Digital, a New York-based financial services and investment management firm focused on digital assets, regularly reviews fund flows and institutional holdings across the cryptocurrency sector.
Mini dictionary: 13F filing – A quarterly report filed by institutional investment managers in the United States to disclose their equity holdings, including ETFs and other securities. These filings provide transparency into how large funds allocate assets.
