PwC crypto leader Henri Arslanian has told Bloomberg that large institutional investors like pension funds and VC firms are pushing the Bitcoin price back to the year's ATH:
Let's say they're looking at a deal and they believe it's worth $10 million, and you're seeing large VCs come in and put a bid in for a higher valuation.
Cryptocurrency market participants are constantly debating the future of digital assets. Cryptocurrency mergers and acquisitions were close to $3 billion in 2020, and the same amount was raised in the last months of this year alone, according to Arslanian.
In July, only the crypto market has raised more than $1 billion dollars thanks to the FTX derivatives exchange gaining $900 million from SoftBank and Fireblocks receiving $310 million.
In July, derivatives exchange FTX raised $900 million from Softbank Group Corp. and others, valuing it at $18 billion. Digital-asset platform Fireblocks took in $310 million to attain a value of $2 billion.
Arslanian also assumed that there are only a few companies that could receive more than $100 million of investment across the cryptocurrency industry since large institutional investors are not considering investments in small companies.
There are still more regulations for the crypto industry, and it is becoming a barrier for funds to start pouring into the industry, Arslanian said.
Denys Serhiichuk
Alex Dovbnya
