After a day long of trading in the red zone, the cryptocurrency market is now flashing green. Yet, the market has not gained its $1 trillion mark as most of the currencies are still below their crucial levels.
Meanwhile Mike Novogratz, founder and chief executive officer of Galaxy Digital, who has always been a crypto proponent, claimed in his yesterday’s interview with Bloomberg that digital currencies are losing their dynamic nature. He believes that there is not much energy left in the market as there are only a few buyers and sellers left in the market.
As per the American billionaire, the crypto market will surge once the Federal Reserve eases its financial policy tightening measures. This comment comes after the recent interest rate hike by the Federal Reserve where it raised the interest rate by another 75 basis points to curb the increasing inflation rate.
Stance On Terra (LUNA)
In particular, Mike Novogratz has been one of the keen supporters of Terra’s native currency LUNA. The investor had also tattooed the token’s logo on his shoulders calling himself a lunatic.
However, after Terra LUNA collapsed in May, Novogratz had a second thought about his stance towards LUNA as he stated, his tattoo will always remind him that there is a need of humility for venture investing.
Nevertheless, though Novogratz calls Terra collapse as heartbreaking he still remains positive towards Do Kwon calling him one of the smartest individuals he has met.
Now, though the crypto market is struggling for a bullish momentum, he claims that the market is not actually underperforming traditional financial assets as there are not many sellers left.
Back in July, Galaxy Digital CEO had claimed that due to huge leverage the crypto market had succumbed to bearish pull down. Meanwhile, now his stance seems to be reversed as he believes most of the leverage is out of the market, hence there is not much selling pressure.