Analyst: Bitcoin enters an institution-dominated era as retail trading share drops sharply

ChainCatcher News, CryptoQuant analyst Axel Adler Jr stated in an article that the share of bitcoin retail trades (in the $0–$1,000 range) has dropped from 1.8% in 2021 to the current 0.48%, indicating that large participants are increasingly dominating overall trading volume.

As of October 2025, the daily average activity of retail trades remains stable at $108 million, but this is significantly lower than the historical peak of $132 million to $150 million, which may suggest a change in market structure and a decline in speculative activity among smaller participants.

The number of daily trades in the $0–$1,000 range is about 700,000, close to the historical average, but the average trade size has decreased compared to previous cycles, further confirming the more conservative behavior of retail participants.

The bitcoin market is showing clear signs of institutionalization: over the past four years, the proportion of retail trading has dropped sharply, indicating that market control is shifting to large institutions, and the influence of small speculators on overall trends is weakening. The current retail activity is stable at a daily level of $108 million, representing a new benchmark in a mature, institutionalized market—here, the speculative frenzy of small retail investors gives way to more robust accumulation strategies.