Wintermute: Cryptocurrency Market Breaks Free from Downtrend with ETF Expansion, Top Assets Lead the Way in Driving Retail Focus
BlockBeats News, January 19th, Wintermute released a new article stating that 2025 did not bring the expected market rally, but it may be seen as the beginning of cryptocurrency transitioning from a speculative asset to a more mature asset class. The traditional four-year cycle pattern is breaking down. Market performance is no longer driven by a self-fulfilling time narrative, but rather depends on liquidity flows and the concentrated focus of investors.
In 2025, there was no scenario of funds flowing from Bitcoin to Ethereum and then to the altcoin market. With retail interest shifting to the stock market, 2025 became an extremely centralized year. The average rebound cycle of altcoins shortened to 20 days (compared to 60 days in 2024). A few top assets absorbed the majority of new funds, while the broader market struggled. To break through the limits of the top assets in the market, at least one of the following needs to happen:
· ETFs and digital asset trust funds expanding their investment scope
· Top assets like BTC, ETH leading the surge
· Retail attention (from the stock market, etc.) returning
The ultimate outcome will depend on whether the above catalysts can truly expand liquidity beyond a few large-cap assets or if market centralization continues to intensify. Understanding the potential flow of capital and the required structural changes will determine the market's operating logic in 2026.
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