CZ reports that U.S. banks purchased Bitcoin as retail investors panicked to sell. This institutional purchasing is an indication of a market transformation, although the prices are volatile and politics is evolving.

The price action of Bitcoin has been choppy in recent weeks. The market is yet to establish a definite direction. 

Since November 21, BTC has ranged between $80,000 and $95,000, which holds the asset in a range of 20 percent. The merger has taken almost 50 days, and the turbulence has caused panic among retailers.

Institutional Players Accumulate During Fear

Recent observations by Binance founder Changpeng Zhao provoked debate. CZ on X reports that during the same timeframe, U.S. banks were extremely bullish on Bitcoin, and retail investors were panic-selling nearly at the same time. You were panic selling, U.S. banks were filling up on Bitcoin, and CZ posted on X.

While you were panic selling, U.S. Banks were loading up on bitcoin. 🤷‍♂️ https://t.co/8Xufs40ZJ8

— CZ 🔶 BNB (@cz_binance) January 10, 2026

Source – X

 A common market phenomenon is brought out by his comment: small investors selling emotionally are matched by institutional accumulation. Ali Charts on X joked, “trying to buy the dip”. 

Trying to buy the dip pic.twitter.com/rdNtm67BzE

— Ali Charts (@alicharts) January 10, 2026

Source: Ali Charts

Traditional Finance Shifts Its Bitcoin Stance

Banks have shifted to tentative involvement, having an exposure to products regulated under ETFs. Access is also available through custodial services and balance-sheet strategies. 

A strengthened regulatory disclosure in the U.S. leads to a lower institutional risk, and an increase in the demand for crypto-related services accelerates the bank engagement. 

During market fear, institutions have the capacity to accumulate patients. Bitcoin is now becoming a strategic asset. 

Banks make longer-term plans than the retail traders, which is consistent with the narrative of scarcity in Bitcoin. 

The hedging aspect of the asset is coming out. Institutions do not mind the daily volatility but emphasize positioning on a long-term basis.

You might also like: Bitcoin Whales Keep Buying: 100+ BTC Addresses Break Record

Political Dimension Adds Strategic Layer

The founder of ARK Invest, Cathie Wood, brought out political considerations. She proposed that the government’s buying of Bitcoin could be inspired by U.S. politics. Wood is of the opinion that crypto contributed to the election of Donald Trump. 

Bitcoin might benefit ahead of the midterms policy decisions in 2026. She asserts that this increases the probability of a strategic reserve, and the U.S. may go beyond holding confiscated BTC. 

A new executive order created a stockpile of digital assets, which favors possible sovereign Bitcoin ownership. The interference of government is an indicator of market maturity and follows a faster pace of adoption.

The remarks made by CZ led to revived FOMO in the crypto community. Institutional involvement is seen by many as an adoption signal. Retail volatility is more and more dominated by long-term positioning. 

Governments and banks are interacting more with Bitcoin, making it a major financial tool. Traditional finance is getting committed to reality.