Matrixport stated in its latest MatrixOnTarget report that the cryptocurrency market is currently facing IPO plans totaling $132 billion, which could have a significant impact on the price of Bitcoin. The report shows that Bitcoin has recently surpassed $106000, partly due to the market capital injection brought by the IPO boom of cryptocurrency companies such as Circle. The market value of Circle has reached $23.5 billion, far exceeding the initial expectation of $7.9 billion. In addition, cryptocurrency exchanges such as Bullish, Gemini, and Kraken are also planning to go public in the coming months, with valuations of $13.5 billion, $10.5 billion, and $16.2 billion, respectively.
The report analysis suggests that these IPOs may further attract investors from traditional financial markets to enter the cryptocurrency sector, thereby providing indirect support for the price of Bitcoin. However, the market still needs to pay attention to whether the IPO boom will bring short-term fluctuations or long-term support. The report also mentioned that Circle's current P/E ratio is as high as 340 times, significantly higher than Coinbase's 42 times and other similar companies, which may pose a risk of overvaluation.
Matrixport believes that as more cryptocurrency companies go public, the market's attention and demand for Bitcoin are expected to further increase, but caution should be exercised as the market may enter a period of sideways consolidation.
