Top 10 Predictions for the Digital Asset Market in 2026: Institutional Funds Concentrate on Leading Projects, Altcoins Face Accelerated淘汰

Source: BlockMedia Original Title: “Institutions Ignore Coins Without ‘Profit’… 85% Drop in Altcoins Accelerates Market Exit” Original Link: https://www.blockmedia.co.kr/archives/1026137

Key Points

Against the backdrop of continuous inflow of institutional investor funds, the digital asset market in 2026 will exhibit the following characteristics: funds will become more concentrated in mainstream assets such as Bitcoin(BTC) and Ethereum(ETH), the previous “drip effect” of altcoins will gradually fade, and only projects with actual profitability will survive.

Changes in Market Structure

Conservative Institutional Funding Trends

As institutional investors become the market leaders, capital flows are becoming more cautious. Projects outside of large assets will face restricted investment inflows. Data shows that over 85% of newly listed projects last year experienced price declines, proving that relying solely on narratives and concepts can no longer sustain project survival.

Shrinking Space for Altcoins

Tiger Research states that the phenomenon of capital splashing from top projects to altcoins is disappearing. The key to project survival has shifted to actual profit-generating ability. Complex utility token economic models have proven to be failures. To persuade investors, projects need to implement direct value return mechanisms such as buybacks and token burns.

Industry Mergers and Acquisitions Accelerate

As the digital asset industry matures, companies are fiercely competing for market dominance, and mergers and acquisitions have become the main solution. Tiger Research predicts that M&A activity centered around winners will increase significantly, with the market restructured around “businessmen” who truly generate profits.

Traditional Industry Entry

Financial Institutions Leading RWA Sector

Tokenization of physical assets(RWA) will become a focus for traditional finance entering the space. Financial institutions are starting to build their own blockchains to gain control, aiming to avoid reliance on external platforms and ensure asset control.

Fintech and Media Innovation

With clear regulatory frameworks, fintech will become the main gateway for digital assets. Media organizations may adopt a “prediction market” model, allowing readers to directly bet on news outcomes to diversify revenue streams.

Cutting-Edge Technologies

Robotics and Privacy Technologies Stand Out

The combination of on-site data requirements for machine learning and blockchain-based crowdsourcing will create new gig economy models.

Privacy protection technologies are equally critical. When large-scale capital movements occur, institutions do not want real-time trading exposure to be revealed, so privacy technologies will become core infrastructure for institutional fund flows.

Market Outlook

Tiger Research concludes that the digital asset industry is evolving with the institutionalization process and the establishment of institutional participants. Capital allocation will shift from short-term price volatility to actual profits and sustainable business models, further advancing the market toward maturity and rationality.