CryptoQuant CEO Ki Young Ju shared insights on the current altcoin market on platform X. He pointed out that, unlike the previous bull market, this time the rise of Bitcoin is primarily driven by institutional investors and spot ETF demand, which are not inclined to shift assets from Bitcoin to altcoins.
Since institutional investors typically do not operate within exchanges, the likelihood of asset rotation is reduced. While mainstream altcoins may gain allocation through ETFs, small-cap altcoins still rely on retail users from exchanges. To achieve a new all-time high in the total market cap of altcoins, significant new funds need to flow into exchanges, but current liquidity is below historical peaks.
Therefore, Ki Young Ju suggests that altcoin projects should develop independent strategies to attract new funds, rather than relying on Bitcoin's momentum. The future growth of Bitcoin is expected to primarily come from ETFs, institutions, and even governments, rather than retail investors in exchanges.