Analysis: $132 Billion IPO May Impact Bitcoin, Caution Needed as Market Could Enter a Consolidation Phase

Matrixport, in its latest "MatrixOnTarget" report, points out that the current crypto market is witnessing IPO plans totaling $132 billion, which could have a significant impact on Bitcoin prices. The report indicates that Bitcoin recently broke through $106,000, partly due to the influx of capital driven by the IPO boom of crypto companies such as Circle. Circle's market capitalization has reached $23.5 billion, far exceeding the initial expectation of $7.9 billion. In addition, several U.S. crypto exchanges are also planning to go public in the coming months. 
The report analyzes that these IPOs may further attract traditional financial market investors into the crypto sector, thereby providing indirect support for Bitcoin prices. However, the market still needs to pay attention to whether the IPO boom will bring short-term volatility or long-term support. The report also notes that Circle's current price-to-earnings ratio is as high as 340, significantly higher than Coin's 42 and other similar companies, which may pose an overvaluation risk.
Matrixport believes that as more crypto companies go public, market attention and demand for Bitcoin are expected to further increase, but caution is needed as the market may enter a consolidation phase.