Bitcoin (BTC) is currently trading around $73,000, but some industry experts believe the cryptocurrency should be valued much higher based on recent developments in the digital asset space. Kevin de Patoul, CEO and co-founder of crypto investment firm Keyrock, argues that the market may be misinterpreting macroeconomic conditions and the long-term structural progress happening within the crypto industry.
The world’s largest cryptocurrency has declined roughly 18% since the start of the year after reaching an all-time high of approximately $125,000 in October last year. Despite growing regulatory clarity and increasing institutional adoption, Bitcoin’s price performance has remained underwhelming.
According to de Patoul, if investors had evaluated the positive developments from early 2025 through 2026 — including regulatory advancements and stronger institutional participation — they would likely have expected Bitcoin’s price to surge. Instead, BTC has faced sustained pressure for much of the past nine months. One explanation is that the market still treats Bitcoin as a risk-on asset rather than a safe-haven hedge. In periods of financial uncertainty, investors often reduce exposure to assets perceived as higher risk, which can lead to capital exiting Bitcoin markets.
Over the past six months, the broader crypto market has shown limited momentum. Bitcoin remains well below its previous peak, while many altcoins have struggled to maintain upward trends. Trading volumes have declined, volatility has compressed, and large speculative rallies typical of earlier crypto cycles have not materialized. Although institutional interest in tokenization and blockchain infrastructure continues to grow, cautious capital flows have kept prices relatively subdued.
De Patoul describes the current environment not as stagnation but as a structural transition within digital finance. From Keyrock’s perspective, two distinct markets are emerging simultaneously. The first is the traditional crypto-native sector, including decentralized finance (DeFi) and altcoins, where speculative activity and liquidity cycles once dominated. That ecosystem now shows more selective investment opportunities rather than widespread speculative rallies.
The second market involves the digitization of traditional finance. This includes stablecoins, tokenized funds, tokenized money market products, and blockchain-based financial infrastructure. Institutions such as banks and asset managers are actively building in this space, focusing less on Bitcoin’s short-term price fluctuations and more on long-term financial system upgrades.
Major developments, including Circle’s IPO and collaborations between traditional finance firms and decentralized finance platforms, demonstrate that institutional commitment to blockchain infrastructure remains strong. However, while many financial products have been tokenized, the utility layer that enables widespread adoption is still being developed.
Tokenized assets such as real-world assets (RWAs) and money market funds exist on-chain, but liquidity in these markets remains limited. Many tokens currently act as digital wrappers rather than fully integrated financial instruments. For tokenization to achieve its full potential, these assets must be widely accepted as collateral and used seamlessly across both traditional and blockchain-based financial systems.
De Patoul believes the industry is currently in an intermediate phase where the necessary infrastructure exists but has not yet reached full functionality or scale. As a result, the next major catalyst for crypto markets may emerge over the next two to three years as these systems mature.
He predicts that 2027 and 2028 could mark a significant turning point for digital finance. Traditional capital markets are vastly larger than the crypto sector, and even a small portion migrating on-chain could dramatically reshape the industry. The growth of tokenized real-world assets alone could potentially rival the size of the entire crypto market seen in previous cycles.
Founded eight years ago with the vision that financial assets would eventually become digital and blockchain-based, Keyrock is positioning itself as a bridge between traditional finance and crypto markets. The firm has expanded beyond market-making and derivatives trading by launching Keyrock Asset Management in 2025, adding investment management services to its portfolio.
The company’s strategy focuses on moving beyond simple tokenization toward creating real utility for digital assets. This includes improving liquidity, enabling cross-market functionality, and scaling blockchain-based financial products.
Regulatory clarity will also play a critical role in determining how quickly institutions can expand their involvement in digital assets. De Patoul points to the proposed Clarity Act as an important milestone for the industry. While he believes regulation will eventually advance, delays could slow institutional adoption and large-scale investment.
For now, the relatively quiet price performance of Bitcoin may not reflect the broader transformation occurring behind the scenes. According to de Patoul, the foundations of a new digital financial system are being built, and the true impact may only become visible once these systems reach sufficient scale in the coming years.
