Korbit Research Center: 'Institutional Fund Inflows Increasing... Trump's Crypto Policy Remains Variable'

Korbit Research Center published a report 'Institutional Fund Trends: Market Restructuring Driven by Policy Changes' analyzing institutional investor fund trends over the past 4 months, examining fund flows and key factors.

On the 20th, Korbit Research Center analyzed through the report that "short-term institutional funds are reacting sensitively to the Fed's monetary policy changes and macroeconomic environment, acting as a major factor in expanding volatility."

According to the report, Bitcoin (BTC) wrapper funds showed strong inflows due to the launch of Bitcoin ETF options and former President Donald Trump's election victory, but temporary outflow pressure occurred in late December due to concerns about delayed interest rate cuts. In the CME Bitcoin futures market, open interest and basis entered an adjustment phase due to deleveraging and profit-taking.

Meanwhile, the long-term indicator crypto fund assets under management reached an all-time high, and Coinbase's institutional trading volume increased 139% year-over-year, indicating expanded institutional market participation.

The latter part of the report also analyzed the potential market impact of President Trump's crypto-related executive orders and anticipated legislation. Yoon-young Choi, head of Korbit Research Center, stated, "As institutional fund inflows increase, market maturation centered on institutions is likely to continue," adding that "changes in the Trump administration's crypto policy are emerging as an important variable amid institutional fund flows."