Bitcoin had a rough start to 2026 and retail investors noticed. Bitcoin is down nearly 19% since January, and the retail investor love affair with crypto is cooling fast. A new survey from Finimize shows that optimism around bitcoin’s price has fallen sharply — and planned investment into digital assets has followed suit. The pivot? Mainstream assets, particularly ETFs. It’s less about panic-selling and more about a quiet re-rating of risk — and it tells you quite a lot about where investor sentiment sits right now.
Bitcoin Confidence Is Sliding
The numbers paint a clear picture. Only 54% of investors now expect bitcoin’s price to rise over the next 12 months, down from 65% last quarter. Meanwhile, planned investment into crypto has dropped from 29% to 20%, suggesting the digital asset is losing its appeal as a wealth-building tool.
Bitcoin’s price reflects the shift. It’s currently trading at $71,070.5 (£53,072.9), having fallen 18.7% since the start of the year. The decline accelerated in late February amid a broad technology-sector sell-off and renewed concerns about tighter monetary policy, which unsettled risk assets across the board. During this period, Bitcoin briefly fell below $70,000—often cited as an approximate average cost of production for miners—adding further pressure to market sentiment.
That’s a long way from bitcoin’s all-time high of $122,200 in October 2025, a peak that came on the back of Trump’s crypto-friendly enthusiasm.
The Holders Aren’t Running for the Exit
Despite the negativity, existing bitcoin holders are largely staying put. 67% view it as a long-term investment, and just 5% have sold their holdings entirely.
Carl Hazeley, CEO of Finimize, put it well: “Optimism about bitcoin’s price has cooled this quarter, but the investors who already hold it are largely staying put. What we’re seeing is a shift from hype-driven enthusiasm to a more committed base of holders.”
In other words: the speculators may be walking away, but the believers are digging in.
Where the Money Is Going Instead
If not crypto, where? ETFs. More than 60% of investors plan to put excess capital into ETFs, up from 58% last quarter, while interest in commodities is also rising. Those opting to hold cash savings fell from 29% to 24%.
The shift into mainstream assets is backed by growing optimism about global markets — the share of retail investors expecting global markets to be higher in a year rose from 61% to 68%. Nine in ten plan to invest the same or more over the next three months, and those planning to cut activity fell from 13% to 9%.
Rethinking the US Allocation
The US remains the dominant destination for retail investment — ranked above Asia, Europe and the UK. But it’s not immune to scrutiny. Over 30% of investors confirmed they’re cutting US exposure, citing the Iranian conflict, AI uncertainty and surging oil prices.
That said, six in ten are either maintaining their US positions or simply rotating between sectors — suggesting the market remains central rather than condemned. Among individual stock picks, Nvidia and Alphabet topped the list, followed closely by Microsoft, Apple and Amazon.
Key Takeaways
Bitcoin’s luster is fading for retail investors — at least in the short term — but this looks more like a maturation of the market than a collapse in confidence. Holders are staying loyal, new money is rotating into ETFs and equities, and the US still dominates portfolios despite growing questions.
FAQ
Why are investors moving away from bitcoin in 2026?
Bitcoin has fallen 18.7% since the start of 2026, hitting lows in late February amid a tech sell-off and hawkish Fed signals. Confidence in near-term price gains has dropped, prompting a shift toward more mainstream assets.
Where are retail investors putting their money instead of crypto?
ETFs are the primary beneficiary, with over 60% of investors planning to allocate excess capital there. Commodities are also gaining traction, while cash savings allocations are declining.
Are existing bitcoin holders selling?
No — 67% of current holders view bitcoin as a long-term investment, and only 5% have sold their holdings entirely. The exit is coming from new money, not committed holders.
What happened to bitcoin’s price in late February 2026?
Bitcoin fell, dropping well below $70,000 — the average cost of mining the coin — following a tech sell-off and renewed concerns about tighter monetary policy.
Are retail investors still bullish on US markets?
Broadly yes, though with caveats. Over 30% are reducing US exposure, but six in ten are maintaining or rotating within the US market. Nvidia and Alphabet remain the most popular individual picks.
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Effective Date: 15th July 2025
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