Novogratz was pretty straightforward this time: MSTR’s leverage game backfired, and BTC ended up taking the blame along with it.

Galaxy Digital founder and CEO Mike Novogratz stated in a podcast that the recent crypto market decline is due to multiple factors, with deteriorating confidence in the capital structure of Strategy (formerly MicroStrategy) being the main cause. "This is a confidence collapse triggered by MicroStrategy, and it is turning into a crisis of confidence for Bitcoin." He also noted that the market is under further pressure from the overall unpopularity of the crypto market, investors' growing suspicion of market structure, and macroeconomic factors such as the Fed's hawkish stance and a strengthening US dollar.