#CapitalRotation Capital rotation is the movement of liquidity from one sector of the crypto market to another. Currently, we are seeing a three-stage shift that is putting unique pressure on the market:
1. The Flight to "Quality" Yield
As global interest rates stabilize in early 2026, capital is rotating out of high-risk, low-utility "meme" coins and back into Yield-Bearing Assets. Because Ethereum offers native staking rewards (projected to be more stable following the Glamsterdam upgrade), institutional desks are rotating their stablecoin reserves back into ETH to capture the 3-4% "real" y