JPMorgan analysts have identified a clear split in investor behavior during last week’s market turmoil. On one side were crypto native investors, who aggressively deleveraged perpetual futures positions, causing a 40% drop in open interest.
On the other were traditional investors, who held relatively firm in spot ETFs and CME futures.
This divergence challenges the narrative that ETF flows dictate all market moves.
The data implies the correction was an insular event, driven by the ecosystem’s most leveraged participants, while the newer, institutional cohort remained on the sidelines.
