I would say that the people gaming the system have shifted pure capitalism into a more elitist form and that has widened the gap. Pure capitalism is dependent on equal access, so there actually does have to be some regulation to ensure equal access. That's not socialism, it's ensuring fair play in a competition-based economical system.
For example, in a poker game everyone stands a fair chance based on their knowledge and skills, but only a couple will actually stand a chance if they're getting away with cheating.
The right type of regulations can protect capitalism.