Bitcoin Whales Tighten Grip on Supply as Retail Share Shrinks to 17.5%

Bitcoin whales now dominate the market, according to the latest Santiment report. As of May 15, wallets holding between 10 and 10,000 BTC—categorized as institutional Bitcoin holders—control over 82% of the total Bitcoin (BTC) supply in circulation. This group includes business intelligence firm Strategy, which recently added $1.34 billion in Bitcoin. Japanese hospitality company Metaplanet also increased its holdings by $126 million. Both entities have continued accumulating BTC regardless of price swings or market corrections. Meanwhile, the U.S. government has adopted a new policy direction. Under former President Donald Trump, the country established a Bitcoin reserve. This positions BTC alongside gold and oil as a strategic asset. The federal government also stopped selling Bitcoin obtained through legal forfeitures. Retail Bitcoin Wallets Hold Only 17.5% of BTC Retail Bitcoin wallets holding less than 10 BTC—worth under $1 million—now make up only 17.5% of all BTC in circulation. According to Santiment, these wallets mostly belong to small traders and miners. The report highlights a common pattern: retail participants often sell their BTC during price rallies to meet personal financial needs. This behavior contrasts with Bitcoin whales and institutional Bitcoin holders, who typically buy during downturns and hold over the long term. Santiment notes that this shift leads to steady BTC redistribution from retail wallets to institutions. New Hampshire is one of several U.S. states supporting this trend. Lawmakers have passed legislation allowing public funds to buy cryptocurrencies and precious metals, including Bitcoin. Bitcoin Whales Include Strategy and Metaplanet Bitcoin whales continue to grow their holdings. Strategy made headlines with a $1.34 billion Bitcoin purchase. The company did not wait for lower prices but added to its BTC balance during ongoing market movements. Similarly, Metaplanet acquired another $126 million in Bitcoin, increasing its exposure despite market uncertainty. These acquisitions show that large holders now play a dominant role in BTC supply distribution. According to Santiment, wallets with 10–100 BTC are considered small institutions. Those with 100–10,000 BTC belong to major financial players and liquidity providers. Combined, these institutional Bitcoin holders control over two-thirds of the supply. This gives them significant influence in shaping how BTC moves through the market. Trump Bitcoin Reserve Signals Policy Shift The Trump Bitcoin reserve policy marked a major change. By creating a federal BTC reserve, the U.S. joined countries treating Bitcoin as a strategic financial asset. This decision means BTC now sits next to traditional reserves like oil and gold in government policy. Under the same direction, the federal government also changed how it handles seized Bitcoin. It no longer sells forfeited BTC, keeping it instead as part of national reserves. This adds another layer to BTC supply retention among Bitcoin whales and institutions. Santiment included this policy development as part of its broader report on wallet distribution trends. The platform tracks on-chain behavior and supply shifts across various wallet types. BTC Supply Distribution Heavily Favors Institutions The Santiment report confirms that institutional Bitcoin holders now have most of the circulating BTC. Retail Bitcoin wallets continue to lose share as more coins move into larger wallets. Santiment classified wallet sizes as follows: Under 10 BTC: Retail Bitcoin wallets 10–100 BTC: Small institutional holders 100–10,000 BTC: Large institutions and liquidity providers Wallets with more than 10 BTC now account for more than 82% of the total BTC supply. This concentration reflects the growing influence of large players in crypto markets. Santiment emphasized that retail users remain sensitive to price movements and often sell when the market rallies. This selling pattern leads to continued BTC accumulation by whales.