Just a quarter ago, Jane Street looked like one of Michael Saylor’s most committed institutional backers.
But now things seem to be changing. In their latest filing, Jane Street revealed that they have significantly reduced their position in Strategy (NASDAQ: MSTR).
Related: America’s oldest bank increases stake in MicroStrategy
Jane Street reduces strategy
As of the fourth quarter of 2025, Jane Street owned a total of 951,187 shares of Strategy common stock, valued at $144.5 million.
However, a rapid and pronounced change is now occurring. In the quarter, Jane Street cut its strategy holdings by 78% to 209,833 shares valued at $26.2 million.
The strategy’s pullback is part of a broader rotation in the first quarter of 2026. Jane Street sharply reduced its exposure to spot Bitcoin ETFs during the quarter, trimming its position in iShares Bitcoin Trust (IBIT) by about 71% and its stake in Fidelity Wise Origin Bitcoin Fund (FBTC) by about 60%.
It also reduced exposure to several Bitcoin (BTC) mining companies, including IREN (NASDAQ: IREN), Cipher Mining (NASDAQ: CIFR), TeraWulf (NASDAQ: WULF), and Core Scientific (NASDAQ: CORZ).
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Bitcoin out, Ethereum in
On the other side of the ledger, Jane Street increased its position in BlackRock’s iShares Ethereum Trust (ETHA) and added it to Fidelity’s Ethereum Fund (FETH), with combined additions of around $82 million in the two products.
As of the fourth quarter of 2025, Jane Street owned a total of 5,948,399 shares of ETHA, worth a combined value of approximately $133.4 million. By the first quarter of 2026, the composition had changed dramatically.
The net result was an overall increase of 5,145,028 shares, which was an 87% increase in total absolute holdings. This brought the combined position for the quarter to 11,093,427 shares valued at approximately $175.6 million.
In Q4 2025, Jane Street owned a modest 103,181 absolute shares of FETH. By 2026, the position had grown dramatically to 2,090,207 shares valued at approximately $43.6 million, an increase of nearly 1,927% in the share count.
Combined with the $42.2 million increase in ETHA holdings, Jane Street’s total additions in both Ethereum ETFs amounted to approximately $82 million in the first quarter of 2026.
The rotation comes amid continued scrutiny of Jane Street’s role in the crypto markets. There has been talk that the company was systematically pushing Bitcoin lower through frequent morning liquidations using ETF-related trades, the so-called “10 AM Bitcoin Dump”, allegedly suppressing prices below $150,000.