The price trend of Bitcoin over the past few years is actually a history of the continuous evolution of market participants.

Going back to 2021, that was a crazy year. Bitcoin surged to a historic high of nearly $69,000 and closed the year at $46,211. The main driving forces at that time were retail enthusiasm and FOMO sentiment. By 2022, the entire market plunged into a freezing point. The yearly low dropped below $15,460, a decline of over 60%, and countless people fell in this bear market. In 2023, the market began to slowly recover, ending the year at $42,288, as it waited for the next turning point.

The real change happened in 2024. In January, the US spot BTC ETF was approved, and the significance of this signal cannot be overstated. Institutional funds flooded in, with traditional financial giants like BlackRock and Fidelity deploying large-scale ETF products, completely changing the previously retail-dominated market landscape. Starting from $42,241 at the beginning of the year, Bitcoin skyrocketed to $108,389, with an annual return of over 120%. More importantly, the entry of institutions greatly increased market liquidity, and volatility actually narrowed — a stark contrast to the previous wild growth.

Entering 2025, the story continues to unfold. The fourth halving in April 2024 has already been priced into market expectations. Historical experience shows that such events typically trigger a 12-18 month bull cycle. Starting from $93,758 at the beginning of the year, Bitcoin repeatedly broke through upwards, reaching an annual high of $126,296 around October. Deep institutional participation has made this upward cycle more orderly, rather than the wild swings seen in earlier years.

From retail-driven to institution-led, the market nature of Bitcoin is quietly changing. Data will tell the story.