Coinbase Report: Sovereign Wealth Funds Fuel Bitcoin’s April Surge as Retail Investors Retreat

Bitcoin’s impressive 13% rally in April 2025, which saw its price climb from $76,500 to a peak of $96,000 before stabilizing around $92,000, was primarily driven by institutional buyers, including sovereign wealth funds. According to John D’Agostino of Coinbase Institutional, this surge occurred alongside a notable retreat by retail investors, who reduced their exposure through ETFs. The rally highlights shifting dynamics in the cryptocurrency market, where institutional players are increasingly taking the lead. Key factors behind this movement include de-dollarization trends, inflation hedging strategies, and Bitcoin’s decoupling from traditional tech-stock correlations. This development underscores the growing acceptance of Bitcoin as a legitimate asset class among large-scale investors, even as retail participation wanes.

Sovereign Wealth Funds Drove Bitcoin’s April Rally Amid Retail Retreat: Coinbase

Bitcoin’s 13% surge in April to $92,000 was fueled by institutional buyers including sovereign wealth funds, while retail investors reduced exposure through ETFs, according to Coinbase Institutional’s John D’Agostino. The rally saw BTC climb from $76,500 to briefly touch $96,000 before stabilizing.

De-dollarization trends, inflation hedging strategies, and decoupling from tech-stock correlations are driving institutional adoption. "Pools of capital that have been buying during April included sovereign wealth funds, large institutional, long-term holders," D’Agostino told CNBC’s Squawk Box.

The divergence between institutional accumulation and retail profit-taking highlights Bitcoin’s maturation as a macro asset. Coinbase’s report underscores how traditional finance players are now setting market direction rather than following retail sentiment.

Uniswap Insiders Move $54M UNI to Coinbase After 4.5-Year Hold

A wallet associated with Uniswap transferred 9 million UNI tokens, valued at $53.9 million, to Coinbase Prime after holding the assets dormant for 4.5 years. The movement, flagged by on-chain analytics, has sparked speculation about potential selling pressure from early investors or team members.

Despite short-term volatility risks, Uniswap maintains robust fundamentals with $2.9 trillion in historical trading volume and $3.6 billion in total value locked. The UNI token recently broke key technical resistance at $5.80, forming a bullish falling wedge pattern that analysts project could propel prices toward $6.50.

Coinbase Prime’s institutional custody service received the tokens, suggesting sophisticated investors may be repositioning rather than exiting entirely. The original UNI allocation occurred during Uniswap’s 2020 governance token distribution.

Coinbase Partners with PayPal for PYUSD Integration and Files for XRP Futures

Coinbase has teamed up with PayPal to facilitate zero-fee conversions of PayPal’s stablecoin, PYUSD, marking a significant step toward mainstream adoption of stablecoins in digital payments. The collaboration leverages PayPal’s payments expertise and Coinbase’s crypto infrastructure to create a seamless user experience.

Separately, Coinbase is seeking regulatory approval to list cash-settled XRP futures contracts. The proposed product, designated under the symbol XRL, would offer monthly margined contracts—a move that could reignite institutional interest in the embattled token following its legal clarity in the U.S.