Wintermute OTC data shows crypto liquidity clustered in BTC and ETH as broader altcoin rallies faded in 2025

Market maker Wintermute's 2025 digital asset OTC report reveals a significant shift in crypto market structure where liquidity has concentrated heavily into Bitcoin, Ether, and a few large-cap tokens, moving away from broad dispersal across altcoins. This concentration, driven partly by increased activity from exchange-traded funds (ETFs) and digital asset treasury companies directing flows into majors, resulted in shorter and more selective altcoin rallies; the median narrative rally duration dropped from 61 days to just 19 days year-over-year. Furthermore, institutional participants showed less directional conviction, favoring tactical positioning, and execution became more deliberate. Wintermute suggests that for liquidity to broaden beyond the top assets in 2026, corporate buyers via ETFs and treasuries must expand their mandates, or major assets must see significant performance to spur capital rotation.

(Source：The Block)