JPMorgan predicts: Cryptocurrency market funds will significantly grow by 2026, with institutional investment becoming the new engine

TokenomicsTrapper · 2026-01-15T00:34:11+00:00

JPMorgan predicts that the cryptocurrency market will earn approximately $130 billion in 2025, mainly attracting retail investors, with capital flowing primarily into BTC and ETH spot ETFs. In 2026, capital inflows are expected to shift toward institutional investors, benefiting from the advancement of cryptocurrency legislation in the United States. The market is expected to enter a new growth cycle.

TokenomicsTrapper

2026-01-15 00:34:11

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【Blockchain Rhythm】JPMorgan has recently spoken out, predicting that the crypto market will generate approximately $130 billion in revenue in 2025, setting a new record high. Even more interesting is their belief that capital inflows will continue to increase in 2026, with the main players shifting from retail investors to institutional investors.

Let’s see what happened in 2025: funds mainly flowed into BTC and ETH spot ETFs, primarily attracting retail investors. Digital Asset Vault (DAT) contributed over half of the inflows, about $68 billion, but the growth significantly slowed down in the second half of the year. While crypto venture capital saw some warming, overall it remained relatively sluggish, and early-stage project funding faced considerable pressure.

Why is JPMorgan so optimistic about 2026? The key lies in the advancement of US crypto legislation, especially policies like the Clarity Act. Once the policy framework becomes clear, institutional investors will have the confidence to step into areas such as ETFs, mergers and acquisitions, IPOs, stablecoins, and infrastructure.

Their logic is: the risk reduction phase is nearing its end, and institutional funds are poised to deploy. The scale and impact of this capital influx will definitely surpass the flow driven by retail investors last year. In other words, the crypto market may be entering a new growth cycle.

BTC-0,32%

ETH-0,82%

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CommunityLurker

· 17h ago

Institutions are stepping in to buy the dip from retail investors; this trick is so familiar, huh?

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GasFeeCrier

· 17h ago

130 billion USD? Retail investors and small traders contributed the majority. Now, institutions will start buying the dip in 2026, and we'll have to cut losses again. Institutions entering in 2026? Isn't it just waiting for clear policies so they can buy in? History always repeats itself. "Clarity Act"? Laughable. It might take years to actually implement, and in the meantime, we'll be cut multiple times. 680 million flows into DAT, feels like it's just lifting the big players. The slowdown in the second half of the year is a signal, everyone. Early-stage projects face high financing pressure? Does that mean my small coins still have a chance, or should I just run away quickly? JPMorgan says it will rise again in 2026? I think 80% of that is just hype. Only the brave go all-in. Retail investors entering BTC ETF now will probably become institutional cash cows next year, haha. Institutional bagholders? I think I'll just hold stablecoins and wait for the big show to start.

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ForkMaster