Matrixport: The current institutional participation in encryption concept stocks is insufficient, and the stock price may further consolidate in the short term.

On August 20, Matrixport released its latest report on social media, indicating that the encryption concept stocks have entered a consolidation phase after a strong rise of 18 months. Over the past 18 months, the encryption concept stock index has significantly outperformed Bitcoin, but with the recent pullback in stock prices of leading companies such as MicroStrategy, CEX, and Metaplanet, the index has begun to show signs of pullback. The cooling buying interest after Circle's listing further confirms the lack of momentum in the new stock market. Analyst Markus Thielen stated that the current level of institutional participation is insufficient, which may reflect seasonal weakness in the summer. In the absence of significant encryption IPO support, prices may further consolidate in the short term.