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Investing.com -- Mizuho analysts hosted a dinner event in Miami with Michael Saylor, Executive Chairman and Founder of Strategy, where he discussed the recent crypto downturn and his outlook on Bitcoin.
Saylor said crypto bottoms are driven by seller exhaustion rather than valuation frameworks. He explained that downturns typically end when forced sellers, including over-levered miners and weak balance sheets, are fully flushed out.
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The executive suggested Bitcoin likely bottomed at around $60K. He cited improving macro liquidity through rate-cut expectations, sustained ETF inflows absorbing daily supply, and corporates reallocating treasury assets into Bitcoin as factors supporting his view.
Saylor identified the formation of banking credit and digital credit on top of Bitcoin as a potential upcoming catalyst. While digital credit exists, banking credit is not yet available but should develop over time, according to Saylor.
On quantum computing threats, Saylor said the risk appears overblown. He described quantum threats to Bitcoin as theoretical and likely decades away from practical relevance. Bitcoin's open-source nature allows for cryptographic upgrades before a credible attack vector exists, he noted.
Strategy announced in its previous earnings call that it is creating a Bitcoin security council that will include other large institutional stakeholders to collaborate on research and communications.
Mizuho maintains an Outperform rating and $320 price target on Strategy shares.
