2025-12-26 20:23:12

Recently, looking at the performance of the global financial markets, it’s like two different worlds: gold has risen above $4,500 per ounce, with an annual increase of over 70%, marking the best performance since 1979; the US stock market, represented by the S&P 500, repeatedly hits new all-time highs, and tech stocks are making retail investors happy; on the other hand, the crypto market experienced a flash crash on Christmas Eve, with Bitcoin down 7% for the year, and mainstream altcoins falling over 35%. The contrast is staggering.

Many people find it hard to understand: why haven't crypto assets kept pace with risk assets' gains, or benefited from safe-haven flows? Is there a chance for a rebound after the flash crash?

My straightforward judgment is: the crypto market is currently stuck in the transitional pain of being "marginalized." There are indeed opportunities for recovery, but they require a reflow of capital and a re-establishment of market logic. In the short term, high volatility will remain routine.

First, think clearly about the question—why is the crypto market falling behind? Actually, funds are voting with their actions, shifting from high-volatility, low-certainty assets to assets with certainty and supported by value. Currently, in 2025, the global economy is in a phase of weak recovery and low inflation, with the Federal Reserve’s policy path still unclear. Under this uncertainty, safety is what capital values most. Why has gold surged wildly? Because it is a traditional safe-haven hard asset that can hedge macro risks; why are US stocks reaching new highs? Because behind tech stocks there are real earnings that provide stable returns for investors.

And what about crypto assets? Their "digital gold" value is not widely recognized, so safe-haven capital isn’t flowing in; their identity as "risk assets" is also hindered by regulatory uncertainty, causing concerns among institutional investors. This is the current dilemma. But this situation won’t last forever. Once the global economic landscape stabilizes and regulatory frameworks become clearer, capital will naturally reassess the opportunities in the crypto market.

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GweiObserver

· 12-27 02:54

Gold and US stocks both plummeted, the crypto circle has been pushed into the cold palace... Honestly, no one believes in it anymore. Regulators haven't even figured things out yet and they want money? Dream on, brother. Wait, this logic doesn't add up... Could it be that institutions are suppressing the coin prices? I suffered heavy losses on the flash crash day, now every time I look at it, I get annoyed. If that's the case, we have to wait until 2026 for hope. Funding votes are so cruel; this year's hot spots are always next year's trash. Wait, no, the shanzhai coins dropped 35%, isn't that a perfect signal to buy the dip? I believe in crypto, but right now it's a bit awkward... It's neither a safe haven nor a way to get rich quickly. Short-term high volatility? Basically, it's just playing with heartbeat. Even a 7% drop in Bitcoin is considered good; look at those small coins... So now it's just waiting—waiting for the economy to stabilize, waiting for regulations to be implemented, then funds will come back? I find that hard to believe. This wave has indeed exposed it; crypto is still a marginalized asset class.

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MerkleTreeHugger

· 12-27 00:09

Gold and US stocks are soaring, while our crypto circle is having a Christmas sale. The contrast makes me smile with a bit of pain. Being marginalized... sounds uncomfortable, but upon reflection, it makes sense. After all, certainty is king. Once regulations are implemented and the economic landscape stabilizes, funds will naturally turn back to us. That will be the real opportunity. Altcoins dropping over 35% is truly incredible, but high volatility has always been our daily routine. Funds are voting with their feet. Currently, they are choosing safe and stable assets. Let's stay silent and accumulate first. A 70% increase in gold is truly touching, but the story of crypto isn't over yet. It all depends on who can survive to that moment.

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RegenRestorer

· 12-26 20:52

Gold and US stocks are making huge profits, but the crypto circle is just giving away vegetables... Basically, it's a matter of capital choosing, whoever is stable wins. The flash crash on Christmas Eve was truly incredible, but there's still hope. Let's wait for the regulatory boots to land. Stuck in a position that looks like neither one nor the other, no wonder no one wants it. Wait, can crypto really become digital gold? I still can't quite understand this logic. Capital voting is so realistic; the era of certainty is here. Short-term fluctuations are normal; to turn things around, you need patience. So those who still dare to buy the dip now are true warriors.

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WhaleWatcher

· 12-26 20:49

The Christmas Eve crash was really brutal. Altcoins were cut in half, I almost lost my composure... Waiting for regulatory clarity? Bro, how long do we have to wait for that?

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SandwichVictim

· 12-26 20:44

Gold and US stocks are soaring, while our crypto market is crashing hard... This logic is really incredible. When the regulatory framework becomes clear, it might be a long way off.

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TopBuyerBottomSeller

· 12-26 20:36

A sudden crash is just a sudden crash, anyway I sold out long ago... Wait for the news to pass before getting in, there will be plenty of cheap deals then.

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LightningAllInHero

· 12-26 20:35

Gold and US stocks are making huge profits, what's going on in our crypto circle? We've been completely abandoned. On the day of the flash crash, I was directly overwhelmed. Altcoins dropped 35%. Imagine how bad that could have been... Wait, the author is right. This is just a transitional period. Funds are looking for certainty. Things here are too unstable. It would be great if regulations could be clarified earlier. Really, being in this state of uncertainty is even more painful than losing money. Let's wait for the funds to flow back. When that happens, it will be another story. I'm betting on this move.

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