Institutional Crypto Demand Stabilizes Despite Conviction Remains Under Pressure

The latest report from Glassnode Research's Strategy Watch series provides insights into the current state of institutional demand and exposure in crypto markets.

The report highlights a gradual stabilization of capital flows, with Bitcoin and Ethereum continuing to register net outflows, but at a slower pace than in February. The stablecoin inflows have also moderated, easing from a peak of $6.2 billion in March.

DeFi TVL flows on Ethereum staged a significant recovery through March, reversing from peak February outflows to near-neutral territory by month-end. This trend shift is notable, but a single month of stabilization is insufficient to declare a reversal of the broader contraction that has persisted since August 2025.