Following the loss of crucial support by the BTC and eth, the entire crypto market cap plunged below $2 Tr.
Mike Novogratz Remains Bullish About The Digital Asset Market
Even though this month remains bearish for the digital industry, galaxy digital CEO, Mike Novogratz, remains bullish about the crypto market but on the condition that BTC and eth do not plunge below $40K and $2.8K, respectively.
The Galaxy Digital CEO made his comments during an interview with CNBC’s squawk box. Novogratz stated that “the industry is in good shape so long BTC holds at $40K and Ethereum at $2.8k.” A known Bitcoin advocate, Novogratz believes that the crypto market is steadying itself before it embarks on another bullish momentum.
BTC plummeted beneath $40K briefly before rebounding to its current price of $42.1K even though it has lost 2.6% of its value over the last 24 hours. Despite starting the month at $53.5K, Bitcoin has declined by almost 21% in its market cap to follow the trademark September period of bearishness. On the other hand, Ethereum recovered from a daily low of about $2.67K to rise above $2.8K.
However, the second-largest digital asset has declined by 4.14% in the last 24 hours to now trade at $2.9K. Like Bitcoin, Ethereum’s price has fallen as this month progressed despite starting the month at over $4K. As of that time, it was seeking to set a new peak price. But its market cap has plummeted by more than 26% since the start of this month.
Other Institutional Voices Are Tame About The Virtual Asset Space
One of such voices is Bridgewater Associates CEO, Ray Dalio, whose investment portfolio includes Bitcoin. He opined that BTC’s value is “more of perception” than intrinsic. He further said, “the digital asset market could suffer greatly from regulatory oversight, especially as it’s about to happen in America.” Nevertheless, Dalio has been less critical of the leading cryptocurrency after admitting that the coin forms part of his investment portfolio.
However, Novogratz’s response to Dalio was that “arguing about whether BTC’s value is intrinsic or perceptive can lead to unending philosophical debates.” “If over 150m people globally have decided that BTC is worth a certain amount, who am I to argue? That’s all I need,” he concluded.
Bitcoin Buying Pressure Not Reducing
Even though BTC remains on the downtrend, various metrics indicate that crypto whales and retail investors continue to accumulate more of it. Thus, suggesting that BTC might embark on a new rally soon. Glassnode data reveals that BTC holdings in small BTC wallets have surged dramatically since the May 2021 selling pressure.
The analytics firm disclosed that these small BTC wallets now account for 14% of the entire BTC supply available. BTC whale wallet number 2 currently holds an estimated $5B worth of BTC following its recent accumulation of more than $13.5m worth of BTC (about 322 BTC). This wallet’s BTC holdings are estimated to be 111,795 BTC, representing almost 0.60% of the BTC supply globally.