Michael Saylor: The composition of participants in the crypto market is changing.

GateUser-f090498e · 2025-05-11T11:42:58+00:00

Michael Saylor believes that the slow rise of Bitcoin beyond $150,000 is due to many economically weaker investors exiting the market, influenced by institutions selling off their holdings for liquidity. Institutional interest and stablecoin inflows help stabilize Bitcoin's value, attracting more traditional financial capital. Saylor emphasizes Bitcoin's liquidity and accessibility as key factors driving its price fluctuations, rather than correlation with other assets.

GateUser-f090498e

2025-05-11 11:42:58

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According to Michael Saylor, a large number of “economically weak” investors are exiting the asset, which is why the asset still cannot surpass the $150,000 mark:

“For various reasons, a large number of bitcoins ended up in the hands of governments, lawyers, and bankruptcy managers. They do not have the mindset of long-term investors, and when the price of bitcoin started to rise, they took advantage of the situation and decided that this was a good exit point for liquidity.”

Saylor said he is not surprised by the lack of willingness of U.S. authorities to spend money on buying bitcoins for the state reserve. While the authorities hesitate, other institutional players, including hedge funds, asset managers, and technology companies, will buy bitcoin as a reserve asset to protect against the inflation of fiat currencies, the businessman believes.

The influx of funds into spot Bitcoin ETFs helps stabilize the cryptocurrency’s price by attracting fresh capital from traditional financial markets, smoothing out volatility and making downturns less sharp, Saylor reasoned.

Earlier, Michael Saylor stated that the fluctuations in the bitcoin exchange rate are mainly caused by its high liquidity and 24/7 availability, rather than a correlation with other assets. Stretegy (, former MicroStrategy), is the largest publicly traded holder of bitcoins.

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