Matrixport: Wall Street Capital to Drive Next Crypto Rally

Bitcoin's price is showing signs of testing key resistance levels, yet the broader market reaction has been notably indifferent. In a report published today, crypto financial services platform Matrixport offers a deep analysis to explain this paradox and forecast the next growth drivers.

Matrixport points to a clear contradiction in the current market. On one hand, positive on-chain factors persist, such as continuous inflows into spot ETFs and the U.S. stock market repeatedly hitting new highs. On the other hand, Bitcoin appears weak, with limited growth momentum. However, Matrixport suggests this may be a seasonal phenomenon. Historically, the market tends to cool down, and price corrections are not uncommon during the summer months.

A more critical factor that is shifting is the monetary policy landscape. Market expectations regarding the U.S. Federal Reserve (Fed) are gradually changing. As more Fed officials begin to question the sustainability of tariff-driven inflation, expectations for future interest rate cuts are heating up. This signals a policy stance that is shifting towards a more dovish outlook—a favorable environment for risk-on assets and the broader digital asset market.

In this context, Matrixport believes traders' attention will no longer be tied to factors like tariff negotiations but will instead shift to follow the rhythm of the stock market. The strong performance of U.S. equities has become a key indicator of investor risk-on sentiment.

This is where Wall Street ETFs will play their role. They act as a robust bridge, allowing immense capital from traditional markets to flow into Bitcoin and other blockchain assets as optimistic sentiment spreads. Matrixport concludes that this increased capital, channeled through ETFs, will be the most significant driver with the potential to push the entire crypto market into a new price rally.