#夏日创作营 The latest bullish-bearish indicator from Bank of America has risen to its highest level since December 2020. Institutions are starting to increase their allocation to risk assets again.

This indicator aggregates multiple dimensions, including fund flows into and out of stocks and bonds, fund managers’ holdings, hedge fund positions, credit conditions, and market breadth. So it’s more like a temperature gauge for overall risk appetite on Wall Street.

The cash ratio in fund managers’ hands has already fallen to 3.6%, near the lowest level in 13 years. The less cash there is, the more it suggests that institutions are willing to put money into the market instead of continuing to wait. This implies that the market is starting to shift from defense to offense.

For the crypto market, this is also a signal worth watching. Because BTC and ETH are essentially also part of the global risk asset complex.