Institutional money managers aren't being shy about it anymore—inflation risks are back on the radar heading into 2026. It's a conversation that's gaining momentum behind closed doors at hedge funds and traditional asset management firms.

The worry isn't unfounded. After years of inflation volatility, portfolio managers are now grappling with persistent price pressures that could reshape how capital gets allocated across different asset classes. This matters big time for anyone thinking about crypto holdings alongside traditional investments.

Here's the thing: when inflation expectations spike, investors typically start rotating positions. Some flee to hard assets like commodities or real estate. Others double down on inflation-resistant plays. Bitcoin and other crypto assets have historically been viewed as potential inflation hedges, though the correlation story gets complicated when you factor in macro policy shifts and rate expectations.

For portfolio construction in 2026, the question becomes whether you're adequately hedged against currency debasement and purchasing power erosion. That's prompting a fresh look at diversification strategies that go beyond traditional equities and bonds.

The broader takeaway: savvy portfolio managers are already positioning for an inflation scenario in 2026. Whether that translates into increased crypto allocation or not, it signals a market mindset shift where tail risks and alternative asset classes deserve real attention.