According to Odaily, Joshua de Vos, the research director at data provider CCData, has stated that the bankruptcy of hedge funds Three Arrows and Alameda Research has created opportunities for new entrants in the market following a rebound. Many of the funds that have managed to survive have seen double and triple-digit percentage returns in recent months.

De Vos suggests that given the cyclical nature of cryptocurrencies, it is highly likely that new crypto-native funds will emerge to fill the void left by these entities and take advantage of new opportunities that arise during this cycle.

Galaxy VisionTrack, a tracking agency, reported that the total market value of crypto-specific hedge funds has grown from $16.3 billion in December 2023 to break through $21 billion for the first time in the first quarter of 2024, reaching the highest level since October 2022.