Galaxy Digital CEO Mike Novogratz stated that the long-standing period of high speculation in cryptocurrencies may be coming to an end. Novogratz expressed that as more cautious and risk-averse investors enter the sector, projects based on real-world assets with low returns will become more prominent in the future.

It was noted that the price loss in Bitcoin since the beginning of this year has exceeded 21%, and since the peak in October, the decline has reached approximately 50%. It was emphasized that Bitcoin fell to $60,062 last week, the lowest level in 16 months, despite the positive stance of the Trump administration towards crypto and anticipated regulatory developments.

Market decline and the impact of major liquidations
Novogratz explained that the recent downturn cannot be attributed to a single event but reflects a broader transformation within the crypto ecosystem. Unlike the erosion of confidence caused by the collapse of FTX in 2022, there is no concrete scandal or wave of bankruptcies triggering the current selling pressure in the market.

How do investor roles and expectations change in a crypto market with reduced speculation?
The CEO specifically highlighted the large wave of liquidations in October 2025. He recalled that during that period, 1.6 million investors' leveraged positions totaling $19.37 billion were wiped out within 24 hours, noting that this process caused significant losses for both individual investors and market makers.

Transition from speculation to infrastructure-focused crypto era
Novogratz stated that crypto markets are largely shaped by narratives and stories, which is why restoring confidence after significant losses takes time. He added that individual investors typically enter this space not to achieve around 11% annual returns but to double their capital, which also fuels speculative waves.

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