Bitcoin This year’s lackluster performance has intrigued investors.
Despite record highs in shares, the world’s largest cryptocurrency has struggled to regain momentum while US tech stocks have surged on enthusiasm for AI, as they are currently trading just below the $62,000 mark, down more than 50% from their record price in October.
Two new perspectives from asset managers Hashdex and Charles Schwab say the disconnect is temporary, although for different reasons.
Samir Kerbage, chief investment officer at Hashdex, said crypto’s recent weakness says more about how investors allocate their capital than the health of the digital asset ecosystem.
“Capital follows attention and stories,” Kerbage writes in his mid-year market outlook. “Cryptocurrency has benefited from this in the past, but right now the focus is elsewhere. AI infrastructure, IPO pipelines, macro positioning around rate expectations are absorbing the flows.”
This rotation, he argued, has overshadowed several structural developments that continue to strengthen crypto’s long-term investment case. Institutional infrastructure is growing among banks, broker-dealers and payment providers, while regulatory clarity in the United States has improved and could further strengthen if Congress passes the CLARITY Act this summer.
Meanwhile, underlying crypto usage continues to grow even as prices remain subdued.
