In recent years, many retail investors who profited during the 2021 crypto boom have now found themselves back at square one. The market has shifted, and it's no longer driven by retail speculation. Instead, institutional players have taken charge, implementing a more subdued approach to avoid the erratic daily fluctuations that retail traders are prone to reacting to. This measured volatility creates a subtle environment that prevents sudden price swings, making it harder for retail investors to take action, which ultimately leads them to passively watch their losses pile up.

This phenomenon, akin to the 'boiling frog' effect, has left many feeling stuck. As prices rise and fall gently, investors aren’t motivated to make quick decisions. What’s worse is that this slow market movement doesn’t provide the same rush as the 2021 bull run, which has led many retail investors to shift to leveraged products like contracts. Unfortunately, this is exactly what institutions want: retail traders flocking to contracts, where they can easily be harvested. With this method, institutions profit without needing to trigger major rallies, as they can leverage contracts for amplified returns.

The key takeaway here is that the current market dynamics make it difficult for altcoins to experience a significant rally. If institutional players continue to dominate through contract-based trading, the likelihood of a major bull market in 2025 for altcoins becomes slim. The solution lies in retail investors returning to the basics—spot trading. If retail investors stop relying on contracts and focus on buying spot, institutions would have no more "easy targets" and would have to drive the market up organically to gain profits. This return to fundamentals is what could ignite the next bull market.

#CryptoMarketShift #RetailVsInstitutions