According to CryptoQuant's chart, in January 2025, Bitcoin's apparent demand once reached about $1.6 million, which is twice the total inflow from ETFs and strategic funds. However, this figure has now turned negative, dropping to -$857,000, despite stable ETF inflows.

This indicates that current capital inflows — even including ETFs — are still not enough to offset the ongoing capital outflows. The market may need a strong catalyst (such as interest rate cuts) to reignite demand. If this happens, the change will primarily benefit institutions and their clients, as they are gradually becoming the core force in the Bitcoin ecosystem.

Alexandre Stachtchenko, the strategic director of the French cryptocurrency exchange Paymium, acknowledged this trend shift:

"Ultimately, retail investors will also have to go through traditional financial tracks (TradFi), which has been my belief for a long time."

But he also stated that this does not mean that direct demand from retail investors will disappear. In the United States, affluent investors may prefer to access Bitcoin through companies like BlackRock, while in places like Nigeria or Argentina, retail investors may still directly buy and hold Bitcoin.

Overall, retail demand has not vanished — it has only temporarily quieted down. Once conditions are right, it may still make a strong comeback.