Recent surveys show: adoption of digital assets is far from mainstream, leaving ample opportunity for new participants. Pantera Capital believes the crypto market still has considerable room to grow.
Even as Bitcoin hits record highs, the majority of investors still have no exposure to digital assets, leaving significant growth potential in the market.
Cosmo Jiang, a general partner at Pantera Capital, emphasized that despite Bitcoin’s historic climb, most investors remain on the sidelines.
Bitcoin hits new heights, but participation lags
Bitcoin recently soared past $126,000, marking an all-time high. Yet, investor engagement has not matched this growth.
A Bank of America survey cited by Jiang reveals that over 60% of investors still do not hold any crypto.
“That’s quite a lot,”
The survey, which polled 211 managers overseeing $504 billion in assets, found that 97% of respondents reported zero digital asset holdings.
Interest in Bitcoin is further evident through the continued demand for exchange-traded funds (ETFs). New inflows are helping offset profit-taking, signaling sustained engagement even amid price swings.
“We’ve seen the flows really start to pour in,” Jiang remarked.
Pantera also notes that mainstream equity investors are increasingly recognizing Bitcoin. Institutional confidence is rising, supporting steady demand and spot Bitcoin ETFs alone recorded $3.24 billion in net inflows last week.
Crypto adoption still low among the public
Despite headlines around Bitcoin’s performance, crypto ownership remains limited.
The National Cryptocurrency Association’s 2025 State of Crypto report finds that approximately 21% of American adults own digital assets.
Globally, adoption remains modest, even in markets like the UAE 25,3%. We may see some growth from the year prior. Around 6% of crypto owners been added.
Investor hesitation is partly driven by high prices, which can create a sense of missed opportunities. Even among the minority of fund managers with digital asset exposure, the average portfolio allocation was just 3.2%.
Tom Bruni of Stocktwits observed that many potential investors feel they “have already missed the boat,” a sentiment that may be slowing broader adoption.
Ryan Rasmussen, head of research at Bitwise Invest, has responded to this in a more positive and encouraging manner.
Vast majority of investors in BofA global fund manager survey have *zero* crypto exposure…
— Nate Geraci (@NateGeraci) August 17, 2025
Of small % who do have exposure, average portfolio allocation = 3.2%. pic.twitter.com/84WGVl2ntU
President of NovaDius Wealth Management Nate Geraci reaction to this. Source.
Yet, the market continues to grow, aided by increasing interest and regulatory clarity. Surveys indicate that there is substantial room for expansion as more individuals gain confidence in crypto markets.
At the same time, some institutional investors are steadily adding to their Bitcoin holdings. Strategy Inc., for example, bought 196 BTC for $22.1 million, bringing its total to over 640,000 coins. Executive Chairman Michael Saylor remains optimistic, suggesting Bitcoin could recover and move higher despite recent market swings.
The cautious approach of everyday investors, contrasted with this steady institutional buying.
Altcoins position themselves for broader growth
Jiang sees the next phase of the market shifting toward altcoins like Ethereum and Solana.
“The next step is for the rest of the digital assets to really have their place,” he said, describing platforms such as Solana as emerging tech leaders.
These altcoins are attracting investors beyond the Bitcoin-focused audience. Legal and regulatory developments may further support their growth. The GENIUS Act, passed in July, introduced rules for stablecoins and reinforced the broader crypto infrastructure.
Meanwhile, the pending CLARITY Act is expected to shape long-term market dynamics.
Some of Jiang thoughts on this you can see in his recent appearance at CNBC.
Pantera remains optimistic that evolving legislation and continued innovation will help altcoins gain traction, expanding the market beyond Bitcoin and into a more diversified ecosystem.
Oleksii Shumak
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