BlackRock has increased its stake in Bitcoin through a 5% holding in Strategy, formerly MicroStrategy, which now controls over $72 billion worth of BTC, nearly 3% of the circulating supply, raising concerns about institutional dominance.

This growing influence threatens Bitcoin's decentralization, as BlackRock's control over both direct holdings and corporate reserves could transform Bitcoin into a more traditional Wall Street asset, risking its original ethos.

BlackRock's expanding control suggests a move toward monopolization, with some analysts speculating that the firm may influence Bitcoin prices through strategic market actions, echoing Michael Saylor's tactics.

The market is experiencing diverse forecasts, with predictions ranging from a bearish drop to $60,000–$65,000, to a bullish surge beyond $150,000–$200,000, largely depending on institutional moves.

Recent volatility is linked to large-scale holdings and inflows into crypto ETFs, with the potential for sharp corrections if major sell-offs by institutions occur.

Overall, the landscape reflects a tension between institutional influence and Bitcoin’s decentralized roots, with ongoing volatility likely until these issues are addressed.

A coordinated sell-off by BlackRock and Strategy could trigger a significant price plunge, potentially dropping Bitcoin to $60,000–$65,000, Ethereum to $1.7K, and causing market instability, including derivatives collapse and retail capitulation.

Recent declines in Strategy’s stock highlight the fragility of market manipulation tactics, raising concerns about Bitcoin’s future as 'the people’s money' amid increasing institutional control.

Strategy’s aggressive Bitcoin acquisitions, including a $2.46 billion purchase in August 2025, have reduced exchange liquidity to 14.5%, the lowest since 2018, tightening the supply on open markets.

The growing dominance of large institutions raises concerns about Bitcoin’s decentralization, with fears that significant liquidations could trigger sharp declines and market instability.

The U.S. March executive order establishing a Strategic Bitcoin Reserve has added institutional legitimacy, contributing to Bitcoin’s surge past $124,000, driven by inflows including BlackRock’s ETF.

Bitcoin hit an all-time high of $124,000 in August 2025, with institutional holdings surpassing $414 billion, fueled by BlackRock’s ETF and other large inflows.

Strategy moved 7,382 BTC (around $850 million) to Coinbase Prime, possibly preparing for liquidation, while BlackRock sold over $500 million worth of Bitcoin recently, indicating active market maneuvers.