TLDR
- 67% of institutional investors surveyed by Coinbase have a positive outlook for Bitcoin over the next three to six months
- Digital asset treasury companies have been buying during price dips, with BitMine acquiring 379,000 ETH worth $1.5 billion
- Coinbase expects two more Federal Reserve rate cuts before year-end, which could push investors toward risk assets
- Stablecoin supply and monthly volumes are at or near record levels, showing increased on-chain payment activity
- Bitcoin is favored over altcoins due to its role as digital gold, while Ethereum looks constructive as scaling progress continues
Coinbase has released its fourth-quarter outlook report showing strong institutional confidence in Bitcoin. The exchange surveyed 124 institutional investors and found that 67% have a positive view of Bitcoin for the next three to six months.
🚨INSTITUTIONS ARE TURNING BULLISH!
As per Coinbase, 67% of institutional investors expect Bitcoin to rise in the next 3–6 months — signaling growing confidence in a strong Q4 for crypto. pic.twitter.com/dUcJQUDODq
— Coin Bureau (@coinbureau) October 20, 2025
The report, titled “Navigating Uncertainty” and produced with research firm Glassnode, was released on October 19, 2025. David Duong, head of research at Coinbase Institutional, wrote the analysis following market volatility on October 10.
The survey revealed different views on the market cycle between institutional and retail investors. About 45% of institutions believe markets are in the late stages of the bull run. Only 27% of non-institutional investors share this view.
Digital asset treasury companies have played a major role in crypto markets this year. These companies have been buying during price drops. BitMine, chaired by Tom Lee, purchased more than 379,000 Ether worth almost $1.5 billion after the market crash pushed Ether below $4,000.
Michael Saylor shared information on Sunday suggesting Strategy may buy more Bitcoin. The company holds $69 billion in BTC. Despite equity market pullbacks, digital asset treasury company crypto reserves have stayed intact.
Federal Reserve Rate Cuts Expected
Coinbase expects two more Federal Reserve rate cuts before the end of 2025. The firm believes these cuts could move investors away from money-market funds and toward risk assets. China’s fiscal and monetary stimulus could also bring more investors into the market.
The report points to liquidity conditions as a key factor. Coinbase’s Global M2 Money Supply Index has historically tracked Bitcoin with a lead time of about 110 days. The index started the quarter in a supportive position.
Stablecoin supply and monthly volumes are at or near record levels. This shows more payments and transfers are moving on-chain. U.S. spot ETF infrastructure for Bitcoin and Ether continues to grow, improving access for traditional investors.
Bitcoin Positioned to Lead
Coinbase favors Bitcoin over other cryptocurrencies in the current environment. The firm describes Bitcoin’s role as digital gold during times of fiscal and monetary uncertainty. Ether also looks constructive as scaling progress moves more activity to layer-2 networks while fees have fallen.
Bitcoin topped $109,000 over the weekend after reclaiming the $108,000 level. Ether briefly climbed above $4,000. Markets remained steady but cautious after the October 10 volatility.
The report notes some risks. A November liquidity fade is possible. Missing U.S. economic data due to government issues creates uncertainty. Questions remain about the long-term business models of digital asset treasury companies, especially after recent equity market weakness.
Coinbase warns that the October 10 slide resulted from heavy leverage meeting thin order books. Some exchanges’ auto-deleveraging capped market-maker shorts and drained liquidity. Prices stabilized into the weekend but sentiment stayed tentative.
The firm maintains its view that liquidity conditions, policy progress, and expanding on-chain usage remain supportive. Stablecoins and maturing ETF infrastructure are strengthening crypto’s market structure. Bitcoin is best positioned to lead if these supports hold through year-end.
