Bitcoin Slump Continues as Institutional Investors Reassess Strategies

Bitcoin's performance has been under scrutiny as it marks its fourth consecutive month of selloffs. According to data, nearly half of the digital currency currently in circulation is worth less than what its holders initially paid for it.

Institutional investors have been revising their strategies, with some hedge funds selling large amounts of shares in bitcoin-related products. Brevan Howard, for example, reduced its iShares Bitcoin Trust ETF (IBIT) holdings from 36.7 million to just 5.5 million.

Not all investors are pulling out, however. The Emirate of Abu Dhabi actually increased its IBIT position last quarter, according to Bloomberg. Despite this, the decline in bitcoin's value has raised questions about its long-term viability.