Arca CIO Challenges 2025 Crypto Bull Market, Highlights Select Token Gains
Jeff Dorman, chief investment officer at Arca, challenges the notion of a broad crypto bull market in 2025. He notes that over 75% of tokens are negative year-to-date, with more than 50% down by 40% or more.
- He criticizes certain gainers like litecoin (LTC) and bitcoin cash (BCH) as "nonsense coins."
- Major tokens such as BTC, ETH, SOL, BNB, and XRP have seen gains of 20%-40%.
- Dorman compares the situation to traditional finance where large caps perform well even when smaller stocks decline.
- He argues for prioritizing projects with tangible business models and revenue-generating capabilities.
'FAANG' of Crypto
- Leading assets include those tied to exchange-traded funds or digital trusts, such as BTC, ETH, and SOL.
- Crypto equities like Circle, Galaxy Digital, Coinbase, and miners have performed well.
- "U.S. government coins," including XRP and Chainlink's LINK, are noted for their resilience.
- Revenue-generating tokens like Hyperliquid's HYPE and Pump.fun's PUMP are highlighted as winners.
Dorman describes 2025 not as a full bull market but as a cycle led by major tokens and select revenue-focused projects, coining the new acronym "BARHEAPs" for leading tokens.