Two of the most credible institutional voices in crypto are signaling that Bitcoin may be forming a near-term bottom, and the window to position ahead of a potential Q2 recovery is narrowing. Coinbase Institutional and Glassnode's Q2 2026 Charting Crypto report pairs on-chain data with survey results to argue that many crypto assets could recover later in the quarter. Bitcoin's Net Unrealized Profit and Loss reading has exited the Fear band and returned to Optimism as April closes, a shift that historically has preceded recovery phases rather than further downside. More strikingly, approximately 75% of institutional investors and 71% of non-institutional investors surveyed now describe Bitcoin as undervalued at current prices, the kind of broad consensus around undervaluation that has marked generational buying opportunities in previous cycles.

The Ethereum data adds further conviction to the setup. Short-term supply held under three months dropped 38% in Q1, meaning weak hands and speculators have been flushed from the market. Long-term supply held over a year rose 1%, meaning conviction holders are accumulating rather than selling. This combination of speculator exit and holder accumulation is one of the cleanest on-chain signals that a market is transitioning from distribution to accumulation. For investors looking to build positions ahead of a Q2 recovery, the current environment of fear-flushed markets, broad institutional consensus around undervaluation, and improving on-chain metrics represents one of the more favorable entry setups of 2026. The two levels to watch are $65,000 as the floor that must hold for the bottom thesis to remain intact, and $79,000 as the cost basis resistance that Bitcoin needs to clear to confirm the recovery is structural.