A well-known trader is asserting that the crypto market is not attracting any new retail investors, but he believes that a certain event could change that. The pseudonymous trader, known as The Flow Horse, informs his 217,800 followers on the social media platform X that the entry of new retail investors into the crypto market will likely only happen if Bitcoin (BTC) reaches a six-figure price. According to The Flow Horse, the current frenzy surrounding memecoins is not enough to entice new investors, as it only represents a small portion of the total market volumes and is more of a buzz on crypto Twitter than a significant trend. The trader argues that for new retail investors to enter the market, there needs to be a significant increase in prices for large-cap, easily accessible pairs. Merely pushing on-chain assets up by 10,000% does not attract retail investors, just as random pink sheet stocks doing the same does not encourage people to invest on platforms like Robinhood or make headlines. The trader believes that big and easily recognizable names need to experience significant movement for new investors to take notice, and for that reason, he thinks Bitcoin needs to break the $100,000 mark. Additionally, The Flow Horse suggests that the current cycle is struggling to attract new market participants due to the scandals that plagued the previous cycle and other factors. He explains that each cycle, unless they are generations apart, attracts fewer new investors because there is a saturation point in terms of global penetration. Furthermore, if someone has not yet entered the market, it is likely because they have not felt strongly compelled or provoked to do so. Typically, this occurs when they witness someone they know getting extremely wealthy or when asset prices that are in the spotlight continue to rise. The trader emphasizes that excitement needs to reach the mainstream, but it is reasonable to assume that the industry is still trying to distance itself from the negative memories and stigma associated with the previous cycle. This current cycle seems to be focused on capturing the attention of larger passive investors who are less sensitive to price fluctuations, especially through the use of exchange-traded funds.
