Galaxy Fund Management Newsletter


The fundamental theses for bitcoin and digital assets took center stage in April as markets recovered amid COVID-19 volatility. Bitcoin rallied to finish with a return of 36.12% while the broader asset class, measured by the Bloomberg Galaxy Crypto Index (BGCI), saw a return of 35.85%.

For some, this may bring back memories of April 2019, which saw bitcoin rally ~28% and the BGCI rally ~13.5% as the crypto winter began to thaw. However, it’s now crucial to understand, this time is different. The post-COVID-19 world is a world that doesn’t simply want bitcoin and digital assets—it needs them.


April began with choppy trading as bitcoin remained in a volatile range between $6500 – $7500 before beginning its ascent towards $9000 in the last ten days of the month. The last time bitcoin closed in this price range was this past February.

The market then was severely levered, which culminated in a violent sell-off in March as markets delivered globally. During April’s rally, a foundation formed with seemingly unlevered long buyers—investors who understand bitcoin’s role as a non-sovereign, limited supply, and deflationary hard asset against the backdrop of monetary policy with potentially decades-long inflationary consequences. Again, this time is different.