Galaxy Digital CEO Mike Novogratz said in an interview with Squawk Box that the crypto sector is close to the bottom after massive leverage positions were liquidated. He predicted that the market is close to the bottom. Novogratz assumes however, that the volatility will continue until a bullish narrative reserves will come.
Related: Mike Novogratz Says Most Crypto Hedge Funds Will Close
According to the businessman, the reason for the failure of centralized organizations is the lack of transparency. Novogratz says although the market can go lower, it seems like 90% of deleveraging is over.
The billionaire finds that the decline will be over as the Federal Reserve stops its monetary tightening and changes the macroeconomic sentiments.
Recently, the market has seen a massive sell-off, and several crypto firms found themselves to be low on liquidity. Some platforms paused withdrawals, Voyager and 3AC filed for bankruptcy.