With Bitcoin (BTC) continuing to trade sideways after falling below $ 33,000 on Thursday, Galaxy Digital CEO Mike Novogratz provided some industry-related geopolitical observations.

In an interview with CNBC’s Squawk Box, Novogratz said that Bitcoin price is currently consolidating between $ 30,000 and $ 35,000, showing that the U.S. crypto community is currently leading the market amid a downtrend out of Asia.

The longtime bitcoin bull noted that China’s crackdown on the crypto market is part of a wider problem in the market, stating:

“What we are seeing is Asia selling and then buying America back. China declared war on crypto as part of this wider Cold War that we are waging, and I think we are still digesting that. “

Novogrätz also pointed to a possible correlation in bitcoin ownership in diversified portfolios, noting that some investors may be reducing some of their crypto holdings. “If you are a hedge fund and are affected by your exchange rate position and your stock position and your oil position, you will likely sell some of your cryptocurrency as well,” he said. It only took a while to build a more diversified investor base. “

Connected: Mike Novogratz says:

After Bitcoin hit an all-time high of over $ 64,000 in mid-April, Bitcoin has seen a steady decline in recent months, largely driven by environmental allegations against Bitcoin mining as well as massive crackdown on crypto investments and mining by Chinese authorities. The general sentiment in the crypto market has worsened to “extreme fear” as global financial regulators take action against Binance, the world’s largest cryptocurrency exchange.

But despite growing concerns in the market, some large companies in the US are still working to develop this industry in the country. On Thursday, major U.S. mining company Gryphon Digital Mining bought a large batch of crypto mining machines from Bitmain, a Chinese mining giant that had to stop spot sales amid China. In June, Miami Mayor Francis Suarez publicly invited foreign cryptocurrency miners to consider setting up data centers in the city amid the capitulation of miners in China.