Matrixport highlights that in today's cryptocurrency market, price movements are predominantly influenced by the inflow of new funds rather than underlying fundamentals like user growth or application development. The example of Ethereum ETF shows that sustained $10 billion inflows drove ETH from $2,600 to $4,500, but prices quickly dropped when inflows slowed. This contrasts prior bull markets where narratives on adoption and network growth drove prices, suggesting that monitoring capital movements is crucial going forward.

#ETF #ETH