Galaxy Asset Management achieved a significant milestone by surpassing $10 billion in Assets under Management (AUM) for the first time on Feb. 29, 2024. This achievement was credited to the growing interest among institutional investors in digital assets, as announced by Mike Novogratz, CEO of Galaxy Digital Holdings’ institutional investing division on March 19.

Galaxy Asset Management has seen remarkable growth in its AUM, more than tripling its value over the past year. This growth was attributed to various investment strategies, including passive, active, and venture investment strategies. Notably, the Invesco Galaxy Bitcoin ETF (BTCO) has been a key driver of this growth, with modest inflows of $175 million to date.

Despite the recent milestone, Galaxy Digital’s stock (GLXY) experienced a 4% decline in after-hours trading. However, the stock price has seen a 23.5% increase since the beginning of the year, following the approval of spot Bitcoin ETFs in mid-January.

Galaxy Digital is also awaiting regulatory clearance to launch a spot Ethereum ETF, with a decision expected by July 5. The firm, founded in 2018, encompasses Galaxy Digital Holdings’ Global Markets and Digital Infrastructure Solutions divisions, led by Steve Kurz.

Novogratz predicts that the recent surge in Bitcoin ETF inflows will drive further adoption of Bitcoin. However, he also anticipates a potential correction in Bitcoin’s price, with a possible dip to $50,000 from its current evaluation of $63,877.

In a recent CNBC interview, Novogratz highlighted the significance of monitoring net inflows and outflows of spot Bitcoin ETFs, as they could signal the onset of a significant market correction.

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