Galaxy Digital Executive: Crypto Market Unlikely to See V-Shaped Recovery, Will Gradually Rise After a Period of Volatility

Odaily Galaxy Digital's Global Head of Asset Management and Co-Head of Digital Assets, Steve Kurz, believes that the recent decline in cryptocurrencies was caused by liquidity and deleveraging, not systemic failure. This indicates that the cryptocurrency cycle is more mature than in 2022, and most forced selling has likely been absorbed by the market. The development of stablecoins, tokenization, and the integration of blockchain with traditional finance is accelerating, positioning cryptocurrencies both as a financial asset and as part of the core financial system.

Steve Kurz expects that cryptocurrencies will not experience a V-shaped recovery. Instead, they will go through a period of range-bound volatility, after which prices will gradually rise as institutional capital flows in and the "great integration" of cryptocurrencies with traditional finance continues to advance. (CoinDesk)