Ethereum is losing ground in one of America’s largest banking wallets as Bank of America rapidly pivots towards Bitcoin-related investment products. Fresh SEC filings from the banking giant reveal noticeable changes in its cryptocurrency exposure in the first quarter, with positions in Ethereum and Solana reduced and Bitcoin allocations aggressively increased through spot ETFs and indirect treasury exposure.
Ethereum is retreating, Bitcoin is rising
Latest 13F filing from Bank of America paints a clear picture of where institutional belief is changing. Although the bank still maintains exposure to several cryptocurrency-related products, according to recent reports indicate that Bitcoin currently dominates its digital asset strategy by a wide margin.
He is at the center of this movement BlackRock’s iShares Bitcoin Trust (IBIT).which, after significant growth in the quarter, became the bank’s largest cryptocurrency holding. Regulatory filings show that Bank of America raised its IBIT exposure to about $37 million, making the ETF responsible for nearly 70% of the bank’s cryptocurrency investment portfolio, holding 972,590 shares of the fund.
At the same time, exposure related to Ethereum products has moved in the opposite direction. The submission reflected a reduction of Ethereum-related allocations along with cuts to Solana-related investment products. Smaller holdings related to the XRP and Solana ETFs also appeared in the disclosure, although the bank’s allocation to these products remained relatively circumscribed.
Rather than spreading capital evenly across the digital asset market, portfolio changes suggest Bank of America is focusing on Bitcoin as its preferred institutional-grade crypto asset.
Additionally, the bank also maintained positions in Fidelity’s FBTC, Bitwise’s BITB, and several Grayscale Bitcoin products. But none lived up to the scale IBIT allocationreinforcing Bitcoin’s growing dominance in the institution’s crypto strategy.
Wall Street’s fresh favorite trade
Bank of America’s repositioning did not happen alone. By Wall Street, major financial companies they are quietly increasing their exposure to Bitcoin even as the broader cryptocurrency markets remain volatile.
The filing also revealed that Bank of America owns nearly 3.96 million shares of MicroStrategy and its position is valued at approximately $660 million. Because a software company continues to accumulate Bitcoins as the treasury’s primary reserve asset, the investment provides the bank with another layer of indirect exposure to Bitcoin beyond the ETFs themselves.
Other financial giants are moving in a similar direction. Morgan Stanley reportedly has one of the largest spot cryptocurrency ETF portfolios among established banks, with more than $1 billion tied to regulated digital asset products. Goldman Sachs also maintained significant positions in BlackRock’s IBIT along with Fidelity’s FBTC fund, while JPMorgan has expanded its cryptocurrency exposure this quarter despite CEO Jamie Dimon’s well-known skepticism towards Bitcoin.
Collectively, these portfolio moves point to a broader shift taking place in established finance, where regulated Bitcoin investment vehicles are becoming deeper and deeper interest from banks, asset managers and hedge funds. Bank of America’s latest filing finally fits this pattern, highlighting how Bitcoin is becoming more and more popular a centerpiece of Wall Street’s cryptocurrency playbook.
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