Cryptocurrency exchange Kraken predicts a major market correction in 2026, with the focus shifting from price volatility to infrastructure development. Kraken Global Economist Thomas Perfumo points out that macroeconomic uncertainty, institutional fund flows, and an increasingly tightly integrated market structure are reshaping the Bitcoin cycle. Perfumo states that while Bitcoin remains a key indicator of risk sentiment, demand, liquidity, and risk channels have changed. Last year, US-listed spot Bitcoin ETFs and digital asset finance companies contributed nearly $44 billion in net spot demand, but market performance fell short of expectations due to a large supply of tradable inventory from long-term holders. This year, regulatory developments in the US will reshape on-chain liquidity. Without a clear risk appetite backdrop, a slowdown in institutional instrument momentum and premium compression could limit Bitcoin's upside potential. (The Block)