TechFlow news — Cryptocurrency asset management firm Grayscale stated that Bitcoin and the broader crypto market faced selling pressure in June due to multiple factors, yet underlying asset fundamentals remained largely unchanged. Grayscale expects spot Ethereum exchange-traded products (ETPs) to begin trading in the third quarter of 2024 and believes crypto market valuations could recover over the coming months.
In June, Bitcoin’s selling pressure stemmed from several sources, including the Mt Gox bankruptcy estate, German government liquidations, U.S. government sales, and reduced holdings by Bitcoin miners. Meanwhile, MicroStrategy purchased nearly 12,000 Bitcoin in mid-June, potentially providing some price support. Although short-term liquidity factors impacted Bitcoin’s price, Grayscale maintains that the core asset fundamentals have not materially changed.
Grayscale Research remains optimistic about cryptocurrency valuations for the remainder of the year, believing the macro environment continues to support the crypto asset class.
