Wall Street’s Bitcoin sentiment shifts from euphoria to skepticism

Wall Street's sentiment toward Bitcoin has shifted from enthusiasm to skepticism, according to Galaxy Digital's Alex Thorn. In an interview, he attributes this to exhausted demand and long-term holders selling, rather than external manipulation.

• Thorn dismisses claims that firms like Jane Street are responsible for Bitcoin's decline, arguing it's a free market with little incentive for manipulation.
• The popularity of Bitcoin as an investment diminished when capital shifted to AI-related stocks, semiconductors, energy, quantum tech, and gold.
• Long-term holders have been distributing coins steadily, which Thorn views as a natural part of Bitcoin's market evolution.
• Despite a decline in sentiment, especially among professional investors, Thorn believes Bitcoin's fundamental value remains intact.
• Bitcoin's inability to behave like "digital gold" has damaged its appeal to institutional investors who expected it to mirror traditional gold's stability.
• Macro fears, particularly around AI's impact on jobs and markets, contribute to investor anxiety.
• Thorn emphasizes the need to communicate Bitcoin's fundamental purpose as a store-of-value asset rather than relying on macroeconomic trends.

At the time of reporting, Bitcoin is trading at $66,109.