Coinbase Institutional Survey: 26% of Institutional and 21% of Retail Investors See Market as Still in a Bear Market
Coinbase Institutional surveyed nearly 150 investors in December and found growing consensus on economic cycle maturity. Key findings: 26% of institutional investors and 21% of non-institutional (retail) investors consider the market to still be in a bear market—substantial increases from September’s 2% (institutions) and 7% (retail). The report highlights rising concern over whether the market is entering the final phase of price discovery before transitioning into a new accumulation phase. The data signals increased bearish sentiment among investors and suggests attention should be paid to signs of price-discovery exhaustion and subsequent accumulation opportunities. (Note: This content is informational and not investment advice.)
Bearish
The survey shows a marked rise in bearish sentiment: institutional respondents reporting ’bear market’ rose from 2% in September to 26% in December, and retail from 7% to 21%. Such rapid increases in participants labeling the market as a bear market indicate heightened risk aversion and caution, which can reduce leverage, volume, and speculative positioning in the short term—typically negative for price momentum. Traders may see increased volatility as market participants reassess valuations, and liquidity may thin during attempts at price discovery. Historically, similar sentiment inflection points (sharp rises in bearish readings) have preceded periods of consolidation or further downside before a clear accumulation phase. Over the longer term, if price-discovery ends and accumulation begins, this could set the stage for renewed bullish trends; but until clear evidence of accumulation (rising bids, increased on-chain activity, institutional re-entry) appears, the immediate market impact is likely bearish.