On Monday, Bitcoin dipped under $60,000 for the first time since October 2024, hitting a low of $59,099 — a drop of over 50% from its record high near $126,000.
However, John D’Agostino, Coinbase’s head of institutional strategy, says this decline is being embraced — not feared — by the market’s most experienced participants.
Speaking on CNBC’s Squawk Box Monday morning, D’Agostino explained that the institutional investors he regularly engages with see the dip as a chance to buy at lower prices, not a cause for alarm.
“I just flew in from the Middle East, and I can confirm that the family offices in the UAE, along with government and sovereign funds actively investing in this asset class, are pleased to be purchasing at a discount,” D’Agostino shared.
His remarks are consistent with recent data showing continued institutional buying throughout the downturn.
Mubadala Investment Company of Abu Dhabi — a $330 billion sovereign wealth fund — disclosed holding 14.7 million shares of BlackRock’s iShares Bitcoin Trust (IBIT) as of March 31, 2026, reflecting a 16% rise quarter-over-quarter. This marks four straight quarters of accumulation, even as BTC fell roughly 40% from its all-time high.
“100 Billion Dollars of Bitcoin ETF Exposure”
Despite Bitcoin’s sharp decline, D’Agostino highlighted a compelling figure as proof of lasting retail confidence: Bitcoin ETFs still hold around $100 billion in exposure, even after the price has fallen nearly 50% from its peak.
“The price has dropped almost 50% from the peak, and we’ve only seen about a 15% decline in retail interest,” D’Agostino observed. “So I believe both retail and institutional investors are signaling this is a long-term asset worth holding.”
BlackRock’s iShares Bitcoin Trust alone held approximately $51.9 billion in assets under management earlier this year, accounting for roughly 45% of all spot Bitcoin ETF assets.
Some reasons for the pullback
When asked about the factors behind Bitcoin’s “winter,” D’Agostino largely agreed with a list presented by the Squawk Box host, which included: risk-off sentiment driving investors toward more liquid positions; persistently high interest rates, weakening the debasement trade narrative; regulatory clarity still stuck in legislative uncertainty; and Strategy’s Michael Saylor breaking his long-held “never sell” promise by selling a portion of the company’s Bitcoin holdings.
Saylor’s company sold 32 bitcoins between May 26 and May 31 for roughly $2.5 million — a move that shook market confidence even though it represented just 0.004% of Strategy’s total holdings of over 843,000 BTC. The sale triggered a sharp negative market reaction that pushed BTC below $72,000 before the broader decline continued.
D’Agostino also pointed to a 100-day conflict with Iran and the closure of the Strait of Hormuz as macro headwinds weighing on risk assets worldwide, while noting that crude oil has stayed surprisingly contained below $100 a barrel — a reminder that volatility in complex macro environments doesn’t always behave as expected.
On the regulatory front, D’Agostino pointed to bills currently advancing in Congress that he said would bolster the institutional infrastructure supporting Bitcoin and digital assets more broadly. The Digital Asset Market Clarity Act — known as the CLARITY Act — passed the Senate Banking Committee on May 14, 2026 with a 15-9 vote, marking the first comprehensive crypto regulatory framework to move to the Senate floor.
A separate bill, the PARITY Act, focused on crypto taxation, is also progressing on an independent legislative track with bipartisan backing.
No panic at the institutional level
When questioned about the risk of leveraged holders facing margin calls and forced liquidations at lower prices, D’Agostino said he was not aware of any major institutional players that were “dangerously overleveraged” at levels anywhere near current prices. He noted that the greater risk lies with retail traders on offshore exchanges offering extreme leverage.
“On the institutional side, I’m not seeing anyone panicking at this stage,” D’Agostino said. “I’m seeing them figuring out the most cost-effective way to acquire new capital to invest in an asset that they loved at $125K, liked at $100K, and love even more at $65K.”
Strategy seemed to reinforce that point Monday, revealing it purchased an additional 1,550 BTC for $101 million — buying the dip at approximately $65,000 per coin, just days after selling 32 coins at $77,135 each.
