Public Companies Are Stacking Up, But Why Are Bitcoin and Crypto Down Today?

Public companies like Tether and Strategy are stacking Bitcoin, but why are crypto and Bitcoin prices crashing? BTC USD is tracking towards $80,000 and may impact even some of the best-performing meme coins and top altcoins.

The latest on-chain data reveals that public companies, especially those in the United States, aggressively bought Bitcoin in Q1 2025. Analysts note that these corporate giants collectively bought 91,781 BTC in the first three months of the year.

Despite their dedication to doubling down on the world’s most valuable coin, Bitcoin slid double digits from its all-time high of nearly $110,000, dropping below $78,000 in March 2025.

At this pace, there is a real risk of the coin retesting the 2021 high of $74,000. If bears press on, forcing the world’s most valuable coin to $50,000, some of the best meme coins will also come under pressure.

(BTCUSDT)

Considering all this, investors should ask the right questions: Who are the big players buying Bitcoin, and why is Bitcoin still down?

Public Companies Buying Bitcoin Is The Big Trend for 2025

In Q1 2025, analysts, citing CryptoQuant data, observed that Tether, the issuer of the world’s most liquid stablecoin, USDT, added 8,888 BTC to its reserves, pushing their holdings to over 100,000 BTC, according to Arkham data.

While Tether might be buying Bitcoin as a strategy, using it as the first line of defense should USDT depeg, say, over the weekend, the decision to accumulate BTC and not any other altcoin is a huge endorsement of digital gold.

Over the years, Tether has played a crucial role in driving adoption and allowing TradFi players to easily bridge to crypto through a stable token that now serves as a medium of exchange for millions, especially in emerging nations. Through USDT, anyone in the world can engage, even buying some of the hottest presale tokens in 2025.

In addition to Bitcoin, Tether holds U.S. Treasuries and other cash equivalents, which are used to back USDT.

While Tether is a big BTC whale worth watching, Strategy, formerly MicroStrategy, is the largest corporate Bitcoin holder. In Q1 2025, Strategy used part of its debt to buy even more Bitcoin, adding a whopping 81,785 BTC in Q1 2025 alone.

Notably, Strategy spent over $8 billion on BTC purchases, cementing its position as a Bitcoin bull, a view held by its founder, Michael Saylor.

MicroStrategy is the public equity play on #Bitcoin Maximalism. pic.twitter.com/96lpcdN5Zi

— Michael Saylor (@saylor) October 31, 2024

Other notable companies that bought the coin include the Blockchain Company, which added 605 BTC to its balance sheet; Semler Scientific, which bought 1,108 BTC; and Metaplanet, which added 2,285 BTC.

(Source)

Moreover, Marathon Digital is preparing to raise $2 billion through a stock sale to bolster its Bitcoin holdings. As a Bitcoin mining firm, Marathon Digital already holds many BTC.

Its decision to buy even more BTC confirms that it believes the coin will spike in the coming years.

Additionally, GameStop plans to raise $1.3 billion via a 0.00% convertible note maturing in 2030. Their entry into the crypto space is a huge endorsement of the coin.

Why is Crypto Crashing? Why Is Bitcoin Down?

Analysts note that Bitcoin is down despite corporates buying over 90,000 BTC in Q1 2025. This drawdown is because long-term holders, or diamond hands, are selling.

CryptoQuant data shows that in Q1 2025, these entities offloaded over 178,000 BTC, significantly outweighing corporate buys and heaping more pressure on BTCUSD. During this time, the coin slipped from $109,000 to $77,000, a 25% drop.

(Source)

At the same time, institutions redeemed their spot Bitcoin ETF shares, booking profits. Analysts said nearly $4.8 billion of Bitcoin-backed shares were redeemed, fanning sellers and dragging BTC/USD prices as a result.

(Source)

Bitcoin prices could face even more selling.

Yesterday, the Donald Trump administration announced a new round of tariffs on global trade partners, which is causing jitters.

Expected economic pressures will trigger more volatility, and crypto assets will bear the brunt.

Barely 24 hours after Liberation Day on April 2, crypto prices are in the red. Notably, the top 10 coins have posted double-digit losses over the past week.

DISCOVER: 17 Next Crypto to Explode in 2025: Expert Cryptocurrency Predictions & Analysis

The post Public Companies Are Stacking Up, But Why Are Bitcoin and Crypto Down Today? appeared first on 99Bitcoins.