Anchorage Digital‘s head of research, David Lawant, believes the cryptocurrency market will continue to perform well this year; however, the three pending IPO’s from SpaceX, OpenAI, and Anthropic will likely have some impact on the crypto market given the size of their collective valuations.
“The amount of capital that we’re talking about here will probably suck air from a lot of the rooms. That’s another non-industry-related but also non-macro factor that I think is very important to watch,” Lawant told Benzinga in an interview.
Bitcoin Price Action
Bitcoin‘s (CRYPTO: BTC) recent price action has largely been driven by institutional flows, shifting from treasury companies to ETFs over the last two months.
Lawant identified three core drivers supporting Bitcoin’s positive trend: improving macro risk sentiment, light investor positioning, and growing industry fundamentals.
While Bitcoin’s volatility has been structurally lower amid recent geopolitical stress due to mechanical factors and market positioning, Lawant cautioned that this low-volatility environment is unlikely to persist indefinitely.
“I don’t think this is going to be the case forever, though. I would expect Bitcoin’s volatility to come back at some point, but it might take a while,” he said.
“Pretty much everyone who wanted to sell Bitcoin probably sold it by April,” he added.
Despite this, industry optimism is rising due to potential regulatory milestones like the market structure bill and increasing institutional interest in stablecoins and DeFi.
“The caliber of institutions that we are seeing engage …
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