Bernstein Describes Current Bitcoin Cycle as ‘Boring’

$2.6 billion outflow from bitcoin ETFs in 2026 doesn't undermine its store of value thesis.

The $2.6 billion outflow from US spot bitcoin ETFs since the start of 2026 and the market’s ‘boring’ performance do not undermine the thesis of the leading cryptocurrency as a store of value. This is according to a report by The Block, citing Bernstein.

Experts led by Gautam Chhugani noted that the current cycle shows weaker dynamics compared to previous growth periods, yet the market structure remains healthy. They attributed the current volatility to limited liquidity and retail investors’ interest in the AI sector, rather than a loss of faith in digital gold.

Bernstein acknowledged that in short periods, the asset still correlates with risky instruments. Nevertheless, bitcoin adoption has expanded through institutional platforms, pension funds, and corporate treasuries. According to Glassnode, 61% of the market supply has remained inactive for over a year.

Corporate purchases were identified as the main demand driver offsetting ETF outflows. Strategy plays a key role here, having raised $7.5 billion through preferred instruments in 2026 to purchase approximately 100,000 BTC. Currently, the company manages over 818,000 BTC, with the risk of forced sales considered minimal.

Meanwhile, Glassnode analysts observed some market pressure: realized capitalization growth has slowed to nearly zero, and the share of supply in profit has decreased to 59.8%. Despite this, Bernstein maintains a bullish outlook.

Back in April, Bernstein analysts identified $60,000 as a ‘clear bottom’ for bitcoin.