Michael Novogratz, the man who predicted that Bitcoin would touch USD 40k during the bull run, appeared on CNBC’s Fast Money still maintaining his bullish stance but this time he did not give a frantic target but explained why he still is bullish on Bitcoin and cryptocurrencies.
Bitcoin price will rise slowly steadily but surely
Michael Novogratz who runs his crypto investment business Galaxy Investment Partners voiced his opinion saying that he believes that cryptocurrencies are going to make a comeback and institutional money will drive this leg of the bull run. According to him, the this been a tremendous growth in the industry. As the industry is growing, a lot of people are getting attached to it which shows that the businesses are here to stay. He mentioned that even though the prices and markets might not show the real investments but there has been a lot of real on ground investments in business privately. He mentioned
“There was a disastrous bear market in coins, it was a bull market in private ventures, talent, and institutions building the crypto infrastructure needed for real money investors to invest in coin.”
He also mentioned that he is seeing institutions getting ready. He mentioned about how the entry of Goldman Sachs and ICE’s Bakkt is changing the scene for cryptos and maybe in next 3 to 6 months’ time there will be big money flowing into cryptos from hedge funds and pension funds driving the prices. But he cautions that this is not going to be a sudden rise. The institutional money will come in soberly and it will drive in staggered growth in Bitcoin. He believes we will see great growth and all-time new highs in prices but that is not going to happen by the end of the year. It may happen in next 4 to 5 years as the Web 3.0, the global decentralized supercomputer that authenticates data, rolls out which all the projects and coins are trying to build.
He also said without naming, that a big endowment fund has invested in a Bitcoin Fund and as the prices begin to rise, he believes there will be an institutional FOMO just like we had a retail FOMO last year, where everyone will run to grab a piece of what they believe could be the future.
He also said compared to altcoins, bitcoin will be the first to outperform as whichever investors they have been speaking want to start with investment in bitcoins.
Seller is fatigued, the market has bottomed says Novogratz
While Novogratz spoke about the long run and bright future on cryptos, a week back he had tweeted showing a Bloomberg Galaxy Crypto Index seems to bottom out.
This is the BGCI chart…I think we put in a low yesterday. retouched the highs of late last year and the point of acceleration that led to the massive rally/bubble… markets like to retrace to the breakout..we retraced the whole of the bubble. #callingabottom pic.twitter.com/EasTBYgjSj
— Michael Novogratz (@novogratz) September 13, 2018
Yesterday he was reported by various media houses saying that markets have hit “seller fatigue,” repeating his belief that prices have bottomed. As part of his comments at Yahoo Finance’s second annual “All Markets Summit,” Novogratz, who last week “called a bottom” for crypto on social media, said Bitcoin’s price drops throughout this year had demonstrated its new stability.
“Bitcoin has held $6,000. Yes, it is off its highs, but it has established itself as a store of value,” he told the audience quoted by Reuters, adding:
“I think institutions are moving towards investing. It’s shocking how much has happened.”
While Novogratz positivity has always been beside cryptos but these explanations as to why he believes good times are yet to come for cryptos makes a lot of sense and also gives a good insight as to how the future would be with Web 3.0 and decentralized business slowly taking over the world.
Will Novogratz predication this time will come true? Do let us know your views on the same.