Retail Bitcoin activity in the Asia-Pacific (APAC) region is surging, surpassing that of the U.S. and Europe, primarily fueled by non-institutional investments, according to recent findings.
APAC retail traders are increasingly active in Bitcoin (BTC), while the U.S. market shows signs of stagnation. Research indicates that when analysis excludes exchange-traded funds and exchange flows, retail participation in Asia is outpacing growth in both the United States and Europe.
Data analysis reveals that the timing of Bitcoin transactions correlates with local working hours, suggesting significant retail activity in the APAC region is evolving faster than in other regions.
Since Bitcoin’s low in December 2022, APAC has seen a year-over-year supply growth of 6.4%. In contrast, the U.S. experienced a decline of 5.7%, with Europe facing a drop of 0.7% over the same period.
“This observation reflects a behavioral shift between the U.S. and APAC, indicating a potential change in retail activity dominance between these regions.”
While institutional investors have traditionally driven U.S. Bitcoin flows, particularly following the introduction of spot ETFs, APAC traders now appear to be leading the charge. Analysts suggest that the imminent launch of U.S. spot ETFs in January 2024 is likely creating new avenues for both retail and institutional investors to gain Bitcoin exposure.
Moreover, an increase in education and understanding of Bitcoin has contributed to a “maturing investor profile” across the region.
