Wintermute's latest report indicates a shift in global capital flow, with most new investments directed towards equities and artificial intelligence rather than cryptocurrencies. Despite expanding global liquidity and rate cuts by major central banks, only stablecoin supply is seeing growth in the crypto sector. The report suggests that the traditional four-year cycle theory is now outdated, with liquidity emerging as the primary price driver.
The report also notes that the market structure remains robust, with cleared leverage and contained volatility. However, a significant rebound in the crypto market is contingent on renewed inflows into ETFs and DATs, according to Wintermute.
Wintermute Report Highlights Shift in Capital Flow Away from Crypto
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