"Smart money" is also being "cut as leek" in the cryptocurrency circle this year.

2025 has been the most difficult year for cryptocurrency hedge funds since the market crash in 2022, with policies and institutional funds failing to bring about a breakthrough for the industry as a whole, instead highlighting the continued fragility of the market structure. Data shows that as of November, directional funds have fallen by 2.5% this year, marking their worst performance since 2022. According to Crypto Insights Group, strategy funds focusing on fundamentals and altcoins have experienced deeper declines, with a drawdown of about 23%. Only market neutral funds have achieved positive returns of around 14.4% through hedging strategies.