Novogratz cites excessive leverage as trigger for June crypto slump

**Novogratz Flags Excessive Leverage Behind June Crypto Drop**

Galaxy Digital CEO Mike Novogratz says high leverage drove June’s crypto market decline. He warns that derivative positions can magnify spot-market weakness.

Thin liquidity and fragile Bitcoin direction make leverage unwinds more impactful. Traders are monitoring flows, wallet activity, funding rates, moving averages, and official ecosystem updates.

The comment offers a measurable signal, avoiding vague bullish or bearish calls. Altcoins remain sensitive to broader risk sentiment, and institutional or on-chain moves can quickly influence market narratives.

Novogratz’s statement should be confirmed via public remarks or Galaxy investor updates before using it as a trading assumption. Misreading data can lead to incorrect conclusions — ETF outflows, wallet transfers, or developer updates don’t guarantee immediate price changes.

Source: Galaxy Digital