Maksym Sakhar said institutional option selling, the AI investment boom and delayed U.S. crypto regulation are capping gains, while broader adoption of blockchain infrastructure continues.
STS Digital Chief Executive Officer Maksym Sakhar said the next meaningful rally in digital assets is being held back by three forces: increased institutional option selling, heavy capital flows into artificial intelligence, and delays in U.S. crypto regulation. He said those pressures are limiting cryptocurrency gains even as institutional investors have steadily increased their use of blockchain technology over the past four years. Sakhar said a stronger bull market would likely need regulatory clarity, more institutional investment in 24-hour financial infrastructure, and a macro backdrop supportive of risk assets, including interest-rate cuts or a return to monetary easing. He added that those conditions are unlikely to be in place in the next few months, but argued the market is underestimating how quickly institutions are adopting crypto and how fast traditional finance is putting crypto infrastructure to work in global capital markets.