Retail activity in crypto fell off a cliff, and it seems they are moving elsewhere.

Spot volumes are down 25% to 30%, and Estimated Leverage Ratios have dropped 28%. This looks like capitulation, coming four months after Bitcoin topped at $126,000 and slid 46%.

Capital is rotating hard into equities. The old “buy the dip” reflex that defined the 2024–2025 run is fading. Liquidity on major exchanges is thinning, and instead of moving with tech stocks, crypto is starting to lose capital to them as traders choose stability over volatility.

• The Signal: Leverage Flushed: Estimated Leverage Ratios (ELR) plummeted from 0.1980 to 0.1414, wiping out speculative froth.

• The Data: Equities Rotation: Retail traders hit…