Bitcoin and altcoins have experienced significant price drops recently. At this stage, BTC has retreated to approximately $73,000, while investors who collectively manage roughly $642 billion in assets.
The Share of Cryptocurrencies in Institutional Portfolios Has Increased!
The Digital Asset Fund Managers Survey for October 2026 highlights a notable change in how institutional investors are engaging with the crypto market.
The data shows that the average allocation to cryptocurrencies within investor portfolios grew from 1.2 percent in July to 1.3 percent.
The research indicates that investors are pivoting away from portfolios dominated by stocks and bonds, opting instead for alternative assets like commodities and digital currencies. A key takeaway from this shift is the growing preference for alternative investments over holding cash.
One of the most significant findings was the change in the primary motivation for crypto investments. Portfolio diversification has climbed to the top spot, representing 40% of the reasons for investing. While diversification has been steadily increasing since 2021, speculative interest has fallen to fifth place, accounting for less than 9%. Additionally, investors are increasingly viewing cryptocurrencies as a solid investment opportunity, while the impact of client demand has waned.
Bitcoin and Ethereum Maintain Their Strength!
According to the CoinShares survey, Bitcoin and Ethereum remain the primary assets in institutional portfolios.
At this time, BTC continues to be the most favored asset regarding growth projections.
Combined, Bitcoin and Ethereum account for 47% of the assets held by participants. Preferences for altcoins have shifted toward Sui, NEAR, Aave, Hyperliquid, Uniswap, and Chainlink, while the outlook for Ethereum and Solana has seen a slight improvement.
*This is not investment advice.
