Survival strategy in the crypto market: what investors need to know

Galaxy Digital is one of the world’s leading investment companies, specializing in cryptocurrencies, digital assets, and venture investments. Its founder and CEO is Mike Novogratz, who previously held executive positions at Goldman Sachs and Fortress, with extensive experience in financial markets and a deep understanding of institutional investing.

In a recent podcast, Mike shared his view on the current market situation and cryptocurrency prospects.

Bitcoin and the psychological level of $100,000

• The $100,000 price has stopped being a hypothetical benchmark and has become a real resistance level.
  
  
  
• Many investors bought BTC above this mark, and as it rises, they will exit at break-even, locking in positions.
• A quick breakout of resistance is unlikely; a return above $100,000 is possible within 6 weeks to 6 months, requiring patience and a strategic approach.

The Fed and liquidity

• The main driver of BTC movement is not news or narratives, but liquidity in the financial system.
  
  
  
  
• The Fed may ease monetary policy, lowering the rate to around 2.5%, which will directly affect capital inflows into risky assets.
• The printing press and hidden support of the banking system remain in place, and the potential to inject trillions of dollars into the economy exists.
• These actions create a foundation for stable demand for BTC and other assets, especially amid traditional market uncertainty.

Market condition after the October 10 crash

• The crash knocked out a significant portion of market makers, temporarily reducing liquidity and trading volumes.
  
  
  
• Institutional volumes dropped by approximately one-third, reflecting caution among large players.
• The base scenario is a sideways and “boring” market until a real bottom forms, without sharp movements.

Sales from early holders

• The main wave of profit-taking has already passed, reducing pressure on the price.
• In the $80–85K range, stability is expected — long-term investors will not panic or sell en masse.

Altcoins and projects

• Most altcoins were initially not economically strong.
• Tokens without a real role in a product or ecosystem do not hold value and gradually disappear from the market.
  
  
• Only projects where the token is integrated into the product’s economy, ensuring demand and resilience against speculation, will survive.

Investor’s key rule according to Mike Novogratz

• The main goal is to survive the cycle, not to guess short-term highs.
• Do not concentrate all capital on one idea; diversification is critical.
• Lock in profits as growth occurs, avoiding endless averaging on declines.
• Preserving capital and discipline are more important than chasing quick gains.

The podcast emphasizes a strategic perspective on the cryptocurrency market: liquidity and fundamental drivers, rather than short-term news, determine price movements. For investors, the key is patience, discipline, and understanding the long-term market dynamics.