Crypto investors are no longer focusing only on the biggest names in the market. As the recent downturn drags on, many traders are widening their exposure beyond Bitcoin and Ether, according to Robinhood’s head of crypto, Johann Kerbrat.
In an interview with Cointelegraph, Kerbrat explained that market uncertainty hasn’t pushed investors away. Instead, many see the dip as a buying opportunity.
“I think what we see from our customers is that they actually see it as an opportunity,” he said, referring to traders who continue buying and diversifying despite volatility.
Investors Look Beyond Bitcoin and Ethereum
While Bitcoin (BTC) and Ethereum (ETH) remain the dominant cryptocurrencies by market capitalization, retail and institutional investors are starting to explore a broader range of digital assets.
According to Kerbrat, customers are “not just on the top two or three assets, but actually going pretty wide.” This shift suggests growing confidence in crypto as a long-term asset class — even with sharp price swings and uncertain macro conditions.
However, broader market indicators still show caution. The Altcoin Season Index recently reflected stronger preference toward Bitcoin over altcoins, signaling that while diversification is growing, major assets still dominate investor sentiment.
This aligns with earlier comments from Coinbase Asset Management president Anthony Bassili, who noted that investors have a “very clear view” of Bitcoin as their first priority, followed by Ethereum. Beyond those two, consensus becomes less certain.
Among potential third contenders, Solana (SOL) has often been mentioned as an emerging favorite, though conviction remains mixed.
Institutional interest is also evolving. MidChains CEO Basil Al Askari said large asset managers are entering the market through significant block trades — primarily within the top 20 cryptocurrencies. For now, institutions appear to be taking “baby steps,” focusing on larger, more established assets rather than smaller-cap altcoins or higher-risk DeFi products.
Crypto Users Increasingly Seek Utility and DeFi Opportunities
Beyond diversification, crypto investors are also looking for more ways to use their digital assets.
Kerbrat noted that staking has gained strong traction on Robinhood since the feature launched in December. Rather than simply holding tokens, more users are participating in staking and exploring decentralized finance (DeFi) applications, even amid broader market weakness.
This growing interest in utility suggests a maturing investor base — one that understands both the risks and potential rewards of the crypto ecosystem.
At the same time, overall market sentiment remains fragile. The Crypto Fear & Greed Index has stayed in “Extreme Fear” territory since early February, reflecting continued caution among traders.
Adding to that pressure, US spot Bitcoin exchange-traded funds (ETFs) have recorded five consecutive weeks of net outflows, with approximately $3.8 billion withdrawn during that period. The trend indicates that while some investors are buying the dip directly in crypto markets, others are reducing exposure through traditional investment vehicles.
