The era of Bitcoin ETFs (exchange-traded funds) is increasingly characterized by long-term capital. That's why baby boomers prefer to wait patiently rather than engage in quick speculation or risk daily trading.
As the net assets of U.S. Bitcoin ETFs approach $120 billion, analysts note that the composition of holders and their behaviors are quietly shifting the dynamics of Bitcoin supply and demand. The results of this may not appear on charts for many months yet.
The total net asset value of Bitcoin ETFs exceeds $120 billion
Data from the research platform SoSoValue shows that total net assets of spot Bitcoin ETFs reached $123 billion as of January 14, after a $753 million inflow. The last time ETF inflows were this high was October 7, 2025, marking a three-month record.
It also reflects a significant increase following $117 million in inflows on Monday. This suggests growing appetite from institutional investors.
Bloomberg's ETF analyst Eric Balchunas claims that recent inflows into ETFs indicate a structural shift in investor behavior. This is especially true for older investors (baby boomers):
"This explains the strong appeal of these assets. Baby boomers aren't tourists. In my view, it's a smart approach. If you're buying BTC, data shows it's wise to hold for at least four years, as if imposing a self-imposed lock-up period."
This is significant because it challenges the belief that inflows into Bitcoin ETFs signal short-term, speculative moves.
An increasing share of demand is coming from investors treating Bitcoin as a strategic allocation. This makes the cryptocurrency more similar to gold and silver than to volatile tech stocks.
New data from the Bitwise and VettaFi survey confirms this approach. According to Bitwise CIO Matt Hougan, 99% of financial advisors who invested in crypto in 2025 plan to maintain or increase their exposure in 2026.
The latest, 8th annual Bitwise/VettaFi survey on financial advisors' attitudes toward crypto assets shows that advisors' conviction is growing, even after Bitcoin's rapid rise.
Why hasn't Bitcoin entered parabolic growth yet?
Sustained demand is already visible in on-chain data. Since the launch of U.S. spot Bitcoin ETFs in January 2024, funds have purchased over 100% of newly mined BTC.
In other words, ETF demand alone exceeded the incremental, new supply. Yet prices did not skyrocket. Hougan argues this is an incomprehensible phenomenon. He directly compares it to the multi-year gold bull run that ended in 2025. He points to how central bank gold purchases doubled after 2022, but it took several years for their full impact to be reflected in prices:
"Bitcoin's price will rise sharply if ETF demand remains strong over a longer period."
Gold rose only 2% in 2022, then 13% in 2023 and 27% in 2024, before surging 65% in 2025. Hougan argues that initially, willing sellers met the demand:
For the first few years, the demand from central banks was met by willing sellers of their gold. But eventually, the sellers ran out of ammunition. When demand remained strong, prices skyrocketed.
A Bitwise representative believes Bitcoin ETFs are following the same path. ETFs have been buying more than the new supply since launch, and long-term holders and early investors have so far been willing to supply their coins to meet this demand.
This maintains price growth despite unprecedented institutional inflows.
The risk—or opportunity, depending on perspective—lies in what happens if this supply from sellers dries up.
ETF investors (baby boomers) are increasingly behaving like locked-in capital holders rather than traders. Analysts suggest Bitcoin may be preparing for an asymmetric move, where years of accumulation could suddenly shift into a supply shortage.
If history repeats itself, the real impact of Bitcoin ETF popularity has not yet become visible, but when it arrives, it could appear suddenly.
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