Arca CIO: 2025 Crypto Rally Is Narrow, Not a True Bull Market
Jeff Dorman, Chief Investment Officer at Arca, says the 2025 crypto rally is selective rather than broad-based, with most tokens still deep in the red.
In a thread on X, Dorman noted that over 75% of tokens in his coverage universe are down year-to-date, with more than half falling 40% or more. Some of the few gainers, he added, are largely “memecoins or nonsense tokens,” while major cryptocurrencies like Bitcoin (BTC $115,766), Ether (ETH), Solana (SOL $237), Binance Coin (BNB $982), and XRP have outperformed, rising 20–40%.
Comparing crypto to traditional finance, Dorman said: “This is like the DJIA and GameStop performing well while small-cap stocks drop 40%.” He argued that selective gains are healthy, forcing investors to focus on projects with real business models. “The days of throwing darts to make a fortune are over—Alt Season isn’t a thing,” he wrote.
Top Winners in 2025
- Large-cap and ETF/trust-backed tokens: BTC, ETH, SOL
- Crypto-related equities: Circle, Galaxy Digital, Coinbase, Iris Energy, TeraWulf
- “U.S. government coins”: XRP, Chainlink (LINK)
- Revenue-generating tokens: Hyperliquid (HYPE), Pump.fun (PUMP), Maple Finance (MPL/SKY)
Dorman also updated his crypto “FAANG” list to the BARHEAPs, including newer projects like PUMP.
He concluded that 2025 is a narrow cycle led by a few major tokens and revenue-focused projects, not a true bull market.
