Galaxy Digital CEO dey warn say Bitcoin Treasury Boom don reach e peak
Galaxy Digital CEO Mike Novogratz talk say di peak for bitcoin treasury company issuance fit don pass, as crypto market don mature and regulatory climate for US dey change. Inspired by Michael Saylor’s MicroStrategy, public and private bitcoin treasury companies don dey collect big BTC reserves, with MicroStrategy holding over 600,000 coins. Novogratz sai say attention dey shift to established players now. E mention top ethereum treasury firms like BitMine wey get 833,137 ETH (about $3.5k each) valued at $2.9B, and SharpLink Gaming wey increase im ETH stash to 521,939 tokens after dem spend $303.7M. Dem moves follow SharpLink recent equity raise of $543.7M total. Galaxy Digital create $2B crypto treasury network across 20+ investment firms, wey dey generate sustainable recurring income. Even tho Washington dey pro-crypto, recent market corrections and tighter issuance mean say new bitcoin treasury companies fit face wahala. Traders suppose watch support levels because price pullbacks fit put pressure on crypto balance sheets and liquidity for both BTC and ETH treasuries.
Bearish
Dis warning dey signal say bitcoin treasury issuance dey slow down and fit get wahala wit liquidity because recent market correction. Peak issuance show say new people no dey buy like before, e different from MicroStrategy style accumulation wey dey drive bullish runs. As US regulations dey mature and crypto prices dey under pressure, demand for big BTC reserves fit reduce. For short term, traders fit see more volatility and downward pressure as dem dey test support levels. For long term, na only treasury firms wey get plenty capital fit continue grow, while small or new ones go face gbege. Similar cautious views during Q1 2022 market pullbacks cause reduction for institutional stacking and general bearish feeling across crypto markets.