The post PrimeXBT: What is TradFi and why crypto traders are paying attention now appeared on BitcoinEthereumNews.com.

Crypto traders did not start paying attention to traditional finance because they suddenly love banks. They started paying attention because TradFi moves capital, sets macro conditions, and increasingly shapes what happens in crypto. TradFi, short for traditional finance, includes the financial system most people grew up with: banks, stock exchanges, brokers, funds, payment rails, and regulated markets like equities, FX, and commodities. For a long time, crypto traders treated TradFi as background noise. That is no longer realistic. TradFi influences liquidity, volatility, risk appetite, and the rules of participation. In many market regimes, crypto does not lead the story – it reacts to it. As a result, understanding TradFi has become a practical trading skill, not a philosophical stance. As both markets converge, the multi-asset brokers like PrimeXBT that bridge crypto and TradFi are becoming central to how modern traders operate. TradFi in one sentence TradFi is the established global financial infrastructure where most capital is held, priced, and deployed. That includes: Central banks and monetary policy, Interest rates and bond markets, Equities and index markets, Commodity markets like gold and oil, FX markets and currency flows, Institutional funds and balance sheets. When any of these shift, crypto often feels it, sometimes immediately. Why crypto traders care now There are three practical reasons. 1. Liquidity and risk appetite are set outside cryptoCrypto can create its own narratives, but broader liquidity conditions often come from rates, policy expectations, and capital flows. 2. Market cycles rotate across asset classesThere are periods when crypto offers the best trends. There are also periods when the cleanest trends live in indices, commodities, or FX. 3. Convergence reduces frictionIf you can move across markets inside a unified workflow, you can respond to opportunities without delays, extra conversions, or platform hopping. Reduced friction matters even more when…

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Filed under: News - @ February 14, 2026 8:29 am