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One of the biggest keen supporters of Bitcoin (BTC) Mike Novogratz might be disappointed after the recent performance of the top crypto asset. Apparently, whenever bitcoin was in need of support, Novogratz and his company Galaxy Digital were always there. However, now this took longer than usual and the top cryptocurrency is still unable to find its way back to somewhere up.
While companies like Galaxy Digital are concerned, they experienced the obvious consequences. For instance, the company reported witnessing a loss of over 500 million during the second quarter of this year. In comparison to 2021, the firm has almost tripled the amount of overall loss.
The massive decline in the company’s capital is inevitable given its heavy investment in crypto and the almost nine months long crypto winter. By November 2021, Bitcoin (BTC) attained its all time high and was trading at around 69,000 USD. However, since then its value has been dropping and barely made any significant move during this time.
The situation became worse following the Terra (LUNA) network collapse after the depegging of its algorithmic stablecoin UST. The broader crypto market experienced the ripple effect of this instance. Major cryptocurrencies including bitcoin (BTC) were also among drastically affected assets.
During November, 2021, the market capitalization of the entire cryptocurrency market crossed 3 trillion USD. However, currently, it slid below 1 trillion. Bitcoin also barely made any movement for a long time. Currently, it is trading at 19,777 USD.
Regardless of the situation, Novogratz is still bullish on the cryptocurrency market. He still anticipates the market’s comeback. He is also quite confident about the strong financial position of Galaxy Digital. He said that he is very proud of the performance his company showed during the situations where the market was in a vulnerable position.
Galaxy Digital CEO said his company’s careful risk management and its commitment to rigid credit standards made them hold approx 1.5 billion USD in liquidity. Along with this, the company has over 1 billion in cash holdings, he added.
Steve Anderson is an Australian crypto enthusiast. He is a specialist in management and trading for over 5 years. Steve has worked as a crypto trader, he loves learning about decentralisation, understanding the true potential of the blockchain.
