Money Flow - BTC vs ETH Capital Rotation
We're witnessing a distinct shift in capital flow dynamics:
Bitcoin is attracting inflows, with approximately two-thirds of that capital coming from USDC.
In contrast, USDT inflows into BTC remain relatively narrow.
On the outflow side, Ethereum is losing capital, predominantly rotating into USDT.
What this suggests:
• USDC is primarily used by U.S.-based institutions and entities, which means BTC is likely being accumulated by U.S. players.
• The rotation of ETH into USDT points toward non-U.S. participants de-risking ahead of expected volatility.
Sentiments suggest:
• Caution abroad
• Strategic accumulation at home.
• If this capital trend continues, BTC may remain the market leader in any upcoming move, while ETH and alts may stay sidelined until post-event clarity arrives.
