Long-term funds buy BTC in OTC tranches as ETFs bleed $2B!

Wintermute, one of crypto's most active market makers and OTC desks, reports that long-term institutional funds have begun accumulating BTC in batches through over-the-counter channels, viewing current price levels as attractive on an 18-month horizon. The firm pegs key downside support in the $60,000–$65,000 range.

Why it matters

The OTC channel is the tell here. Large funds that buy through OTC desks rather than open-market orders are specifically trying to avoid moving spot prices — they're building positions quietly. Wintermute's observation lands against a backdrop of two straight weeks in which crypto has failed to follow the broader risk-asset rally, with roughly $2 billion flowing out of BTC and ETH ETFs while fresh capital rotated into AI stocks and small caps. The divergence between ETF outflows and OTC inflows suggests two distinct investor cohorts operating on very different time horizons.

Market impact

For BTC price action, the OTC accumulation dynamic is a structural support signal even as near-term ETF flow data looks weak. If the $60,000–$65,000 band holds as the downside floor that long-term funds are targeting, it becomes a self-reinforcing level — the more funds publicly anchor to it, the more buy-side interest concentrates there. Watch whether ETF flows stabilise or continue to bleed as the near-term stress test for this thesis.