And stocks are going to be interesting, right? Again, the Fed's going to be cutting. You still have this AI story. Things like Google and Microsoft and Facebook, Meta aren't as expensive as they were last year because their earnings are growing so quickly. And so next year's trades feel a little bit like this year's trades. That's always a little scary, but that's kind of I think what the fundamentals and the technicals say your portfolio should be. Again, because things are extended, you got to be careful. You got to pick your spots, right? You don't have to always be invested. You want to be invested from good levels.
Bitcoin is no longer seen as a speculative gamble. As 2026 draws near, it is increasingly seen as a strategic asset moving into a new stage of development. The focus now is on how the trend develops rather than if Bitcoin will increase. History indicates that momentum favors those that position early and the beginning of the year sets the tone as adoption, regulatory clarity, and institutional positioning align. It is anticipated that the price trend of Bitcoin in 2026 will show continuity rather than anarchy. After year-end repositioning, capital usually returns to the market with confidence following previous cycle behavior. As portfolios reset, fund managers, businesses, and long-term investors seek clean exposure that reinforces upward pressure without the frenetic excess of previous cycles. This results in a more consistent ascent with higher peaks backed by conviction rather than hype. The structure of 2026 is what sets it apart. Sovereign interest, spot ETFs, and expanding balance sheet adoption all increase demand while lowering volatility. A strong pricing foundation is created by the combination of Bitcoin's restricted supply and growing institutional access. The market is moving towards steady trends, methodical accumulation rather than abrupt spikes and crashes. In this setting, price targets inevitably get more audacious. The headline six-figure Bitcoin is no longer relevant. This is a baseline conversation. The market is still moving in a clear upward support and increasingly resilient path regardless of whether it consolidates above previous cycle highs or moves toward new discovery zones. The goal of the Bitcoin trend in 2026 is not to validate the beliefs of believers. Verifying that Bitcoin has established itself as a long-term pillar of the global financial system is the goal. Please show your support by hitting the like and subscribe buttons before we proceed. To ensure you don't miss our most recent content, don't forget to activate your notification bell. We appreciate your return visit. Let's watch some of Michael Novogratz's videos with Anthony Scaramucci on Bitcoin's broader bull run.
And stocks are going to be interesting, right? Again, the Fed's going to be cutting. You still have this AI story. Things like Google and Microsoft and Facebook, Meta aren't as expensive as they were last year because their earnings are growing so quickly. And so next year's trades feel a little bit like this year's trades. That's always a little scary, but that's kind of I think what the fundamentals and the technicals say your portfolio should be. Again, because things are extended, you got to be careful and you got to pick your spots, right? You don't have to always be invested. You want to be invested from good levels. I just love the fact that we're at only, you know, I think about Alibaba at a $340 billion market cap as the second largest stock in China. That feels wrong to me in that China's got to have a trillion dollar stock if we have so many trillion dollar stocks. Alibaba owns all the cloud. There's only one cloud provider and so trade on a much lower multiple. You know, listen, there's a Chinese discount because of it, but 280, that's a big company in any other world than the United States tech world. Listen, I, you know, people know I'm the CEO of Galaxy. We have two businesses, a data center business and a crypto business. Appreciate it. Listen, I think the data center business has legs. I think there's a demand for power that's not going away next year or the following year or quite frankly the following year. As we get further out, you know, it's harder to predict, but I think there's a good runway left. We constantly are in conversations with, you know, people that use power and let me tell you, there's demand for power and so I think that's going to be the bulwark of our valuation. And I think there's just so much optionality, A, that crypto prices go higher, but B, that crypto as an industry is going to become more relevant and important because we're going to tokenize real world assets. They're going to, over the next 18 months, the blending of TradFi and crypto happens and we're going to try to make sure Galaxy is a part of that future. We have a really strong brand. We have a lot of strong relationships with institutional people and it's our challenge and our job is to turn those into, you know, financially lucrative businesses. And so this has been a challenging year in terms of a lot of progress on the building. Prices of crypto are, you know, are down on the year. But I think in next year we might have choppiness. I think Bitcoin prices are going to go higher, but I'm sure the activity around building infrastructure is going to accelerate. Yeah, listen, I mean, Galaxy, the data center business, you know, is probably equally important or even a little bigger from a market cap perspective than the crypto business. And it could get substantially so. And so, we get asked all the time, will we split them in two at one point? We'll take it as it goes. Right now, we're one business. I certainly could see a world in 12 months where there are two businesses because they have different cycles and different capital needs. The crypto business itself I think is at least three to four years away from not being impacted by crypto prices. And that's because all the revenue in the asset management business, in the staking business, in the trading businesses is some percentage of the underlying asset. And in the asset, it's not in dollars, it's in Bitcoin. So if Bitcoin price falls 30%, your revenue goes 30% off it. Especially in the proof of work where you make a lot in staking. If it's staking Solana or staking something else, price goes down, you make less staking. And so we're just too correlated still to price even if we held no crypto on our balance sheet, which we do. And so we're a few years away from that. But I think as a whole even this year we've been less correlated to price of crypto because of data center.
All right. Sure. So this is going to be a simple, simplistic description first of blockchains. So what blockchains are, right? Bitcoin was the first blockchain you heard about. They're big databases that instead of being owned by one person where the one person puts all the inputs in, they are kept up by a community where different communities put the same data in, look at the data and then validate that yes, that's the right data and then they put a big stamp of approval on it. That stamp of approval in Bitcoin, which is a proof of work blockchain, comes from the Bitcoin miners. They mine a new block every 10 minutes. That block gets mined. It stamps that spreadsheet to become permanent. And then the next 10 minutes, a new spreadsheet gets a new stamp with new data gets put on top. And so it's almost impossible to change the old one because there's one on top and then one on top and then one on top. And so...
