Why Did Harvard Cut Bitcoin and Increase Ethereum Holdings?

▲ Why Did Harvard Reduce Bitcoin and Increase Ethereum?/ChatGPT-generated image

Harvard has reduced its holdings in BlackRock’s spot Bitcoin ETF while newly adding a position in a spot Ethereum ETF, signaling a subtle shift in the direction of institutional capital.

According to cryptocurrency media outlet Watcher.Guru on February 16 (local time), Harvard Management Company recently disclosed that it cut its holdings in BlackRock’s spot Bitcoin (BTC) ETF, the iShares Bitcoin Trust (IBIT), from $442.8 million to $265.8 million. Instead, it established a new $86.8 million position in BlackRock’s spot Ethereum (ETH) ETF.

This asset reallocation comes at a time when the cryptocurrency market has experienced significant volatility. Last October saw the largest single-day liquidation event in crypto history, and the market has yet to fully recover. Although Bitcoin and Ethereum each reached all-time highs in 2025, both suffered considerable price declines during the year-end correction.

Over the past two years, ETFs have emerged as a key factor influencing cryptocurrency prices, with inflows and outflows directly impacting price movements. Harvard’s addition of a spot Ethereum ETF is interpreted as reflecting expectations for its future growth potential. Some market participants highlight the relative return potential, noting that if Bitcoin reaches $1 million, it would represent about a 14-fold increase from current levels, whereas Ethereum reaching $30,000 would imply roughly a 15-fold gain.

However, both spot Bitcoin and spot Ethereum ETFs still account for a significant portion of Harvard’s portfolio. This adjustment demonstrates that crypto assets have become part of the institutional asset class while also suggesting that institutional investors are employing more sophisticated rebalancing strategies.

As cryptocurrencies continue to be included in mainstream financial asset allocation despite ongoing volatility, Harvard’s move is seen as a meaningful mid- to long-term signal for both Bitcoin and Ethereum.

Disclaimer: This article is for investment reference purposes only, and we are not responsible for any investment losses incurred based on it. The content should be interpreted for informational purposes only.