Sovereign Buyers Could Spark 2026 Bitcoin Rebound

Barring a miracle, bitcoin will end 2025 in the red, marking just the fourth time the largest cryptocurrency has done so in its history.

Investors are right to be frustrated by Bitcoin’s 2025 showing. There was no major scandal to rock the cryptocurrency space this year. In fact, the Trump administration has unveiled a slew of policies conducive to crypto expansion and U.S. leadership on that front. Some say the president delivered as promised, except for his inability to steer a bitcoin bull market.

So while investors are understandably vexed, 2026 may not be the time to abandon bitcoin and ETFs such as the Coinshares Valkyrie Bitcoin Fund (BRRR). In fact, there’s a strong “why” that supports the case for these assets as 2026 rebound candidates.

Bitcoin, BRRR Can Get it Together in 2026

On the more speculative side of the ledger, some crypto market observers are urging HODLers to, well, hold on, noting that selling Bitcoin today is foolhardy because the digital currency is in the early innings of institutional and mainstream adoption.

If that outlook is validated, it would be meaningful to ETFs like BRRR. On the more fundamental side of the equation, some experts believe sovereign buying of bitcoin will increase next year. That could boost prices along the way. Phone Le, chief executive of Strategy — the largest corporate owner of bitcoin — told Fox Business on Monday that countries could increase bitcoin buying next year. He also called the digital currency “a generational technology invention.”

“That makes it a singular asset class,” Le said in the interview. “If I look at 2026, I’m pretty excited. I think we’re going to see more risk-on buying as we enter the mid-term election period. I think bank adoption, nation state adoption, is going to increase.”

The U.S. and China combine to hold about 520,000 bitcoin, but after that pair, sovereign ownership declines in significant fashion. However, that implies room for growth. Some countries are already buyers, albeit incrementally, of bitcoin. As just one example, the Czech National Bank (CNB) last month bought $1 million worth of bitcoin and other cryptocurrencies as part of an experimental portfolio.

Coinbase Head of Institutional John D’Agostino recently said that more European countries are likely to consider some exposure to bitcoin at the sovereign level. Add to that, El Salvador, already a devoted bitcoin adopter, made its largest single-day purchase of bitcoin in November. Put it all together, and BRRR could get a 2026 lift from nations boosting bitcoin exposure.

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