With just 450 BTC mined daily and public companies like his own aggressively acquiring Bitcoin, Saylor argues the supply-demand imbalance is driving inevitable price appreciation. He also mentioned the growing political and institutional support, including pro-Bitcoin stances from Donald Trump and key financial regulators. Meanwhile, analysts believe that a wave of crypto ETF approvals could trigger an “ETF summer.” However, not all corporate crypto bets have paid off. GameStop’s recent $513 million BTC purchase failed to boost Q1 performance.
No More Crypto Winter?
Michael Saylor, the executive chairman of Strategy, dismissed people’s fears of another crypto market winter by saying that Bitcoin’s trajectory is now locked toward $1 million due to its accelerating adoption and limited supply. In a recent Bloomberg interview, Saylor confidently stated, “Winter is not coming back,” and he argued that Bitcoin reached a point where the only logical direction is upwards.
He also talked about the sharp contrast in supply and demand, and explained that just 450 Bitcoin are made available by miners each day, which is roughly equivalent to $50 million at current prices. If this daily supply continues to be absorbed, Saylor believes the price will be forced to rise.
Saylor spoke about how public companies, including his own, are playing a key role in driving up demand. In fact, Strategy purchased 582,000 Bitcoin since 2020, which is now worth around $63.85 billion. According to Saylor, these firms are “buying the entire natural supply,” and only a relatively small daily investment is needed to impact the market. However, he acknowledged that if Bitcoin does soar to $500,000 or even $1 million, large-scale volatility could return.
Strategy Bitcoin holdings (Source: Saylor Tracker)
Pointing to macroeconomic and political tailwinds, Saylor explained that the broader environment now supports Bitcoin. He pointed to recent endorsements from US President Donald Trump, Treasury Secretary Scott Bessent, and SEC Chair Paul Atkins, all of whom expressed strong institutional backing for the crypto king. He also pointed out that traditional banks are preparing to offer Bitcoin custody, which is a big step toward mainstream adoption.
While Trump expressed his support for Bitcoin, some of his policy decisions were seen as catalysts for short-term price declines, including a 40% drop from Bitcoin’s January peak of $109,000. Still, Saylor is unfazed and sees these fluctuations as part of a broader upward trend.
Additionally, he mentioned the role of Bitcoin ETFs, particularly those led by BlackRock and other major players, in driving daily Bitcoin purchases. In his view, these inflows, along with new entrants like nation-states, reinforce the bullish outlook.
Bitcoin ETF flow (Source: Farside Investors)
For example, Pakistan recently signaled its intent to establish a strategic Bitcoin reserve, which is a move that Samson Mow of JAN3 suggested could allow the country to “front-run” the US if it doesn’t act swiftly. Trump’s creation of a Strategic Bitcoin Reserve in March could help the US stay in the race, but Saylor’s message is clear: the momentum behind Bitcoin is too strong to ignore, and the conditions are aligning for a historic price surge.
Altcoin ETF Summer Could Start Soon
The US Securities and Exchange Commission (SEC) may be on the verge of approving a new wave of crypto-linked ETFs, and analysts believe this could be the potential start of an “altcoin ETF summer” as early as next month. According to a note that was shared by Bloomberg ETF analyst James Seyffart and senior analyst Eric Balchunas, the SEC could approve ETFs tracking broad crypto indexes in July, with Solana likely leading the way.
These ETFs aim to provide diversified exposure to the cryptocurrency market. So far, Bloomberg analysts assigned a 90% chance of approval for the initial batch by July 2.
Major players like Grayscale and Bitwise filed for these crypto bundle ETFs, and the SEC is also evaluating applications that focus specifically on Solana, XRP, and staking-based products. While decisions on Solana and staking ETFs could arrive later this year, there are signs the SEC might act sooner. Reports from Blockworks suggest that the SEC asked fund issuers to revise their Solana ETF filings, which indicates that there is active dialogue and growing momentum behind the products.
Basket-style ETFs are seen as an attractive option for investors who are unsure which tokens will outperform. Duncan Moir, president of 21Shares, explained at the Proof of Talk event in Paris that basket products offer a way to gain market exposure without betting on a single asset. He expects these types of ETFs to become increasingly popular as more asset managers join the market and compete to launch innovative exchange-traded products.
Seyffart’s forecast that Solana and staking ETFs will lead the next phase of ETF approvals coincides with broader optimism in the industry. Nate Geraci, president of the ETF Store, said that the SEC seems poised to “open the floodgates on crypto ETFs,” which could represent the final hurdle before major brokerages begin offering direct spot crypto trading.
Looking further ahead, Balchunas also pointed out that there’s a strong likelihood that an actively managed meme coin ETF could debut by 2026.
GameStop’s Bitcoin Bet Fails to Lift Q1
Although Saylor is convinced that a Bitcoin winteris a thing of the past, GameStop Corp reported mixed financial results for the first quarter ending May 3. After-hours trading also saw its shares drop more than 3.5% to just above $29.
Q1 overview (Source: GameStop)
The company revealed a decline in revenue to $732.4 million, missing analyst expectations of $754.2 million and falling 17% from the $881.8 million that was posted during the same period last year. The drop was attributed to persistent challenges in physical game sales, according to brokerage IG. However, operational metrics showed improvement, with the company turning a profit of $44.8 million compared to a net loss of $32.3 million a year prior.
Despite the revenue miss, GameStop’s cash position is still quite strong. The company reported $6.4 billion in cash, cash equivalents, and marketable securities, which is a sharp increase from $1 billion a year ago. This financial strength comes at a time when the company is starting to pivot into Bitcoin investment. On May 28, GameStop revealed its first Bitcoin purchase of 4,710 BTC, valued at approximately $513 million at the time. The firm funded the acquisition through debt financing by launching a $1.3 billion convertible notes offering.
GameStop YTD stock price (Source: Google Finance)
While GameStop did not specify a long-term target for its Bitcoin holdings, it indicated flexibility as it may sell its Bitcoin if needed. The move places GameStop among the growing number of firms treating Bitcoin as a strategic reserve asset, although the stock declined roughly 3.8% year-to-date. The company’s all-time high of over $80 in January 2021 remains a far cry from current levels.
