With the cryptocurrency sector still reeling from the aftermath of a major rout that recently engulfed it, one of the market’s most bullish supporters has expressed his thoughts on the future of its largest asset.
Indeed, Mike Novogratz, the CEO of cryptocurrency investment firm Galaxy Digital, said he was content with the price of Bitcoin (BTC) ending the year in a zone between $20,000 and $30,000, as he opined in an interview with Bloomberg’s Sonali Basak published on August 8.
Asked specifically about the price targets for the end of the year when it comes to Bitcoin, Novogratz stressed that:
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“Will Bitcoin get through $30,000 on this move up? We’ll see. I’m doubtful. I think we’re gonna probably be in this range now. I’d quite frankly be happy if we’re in a $20,000 – $22,000 or $20,000 – $30,000 range for a while, with the next move breaking up.”
The Fed connection
Furthermore, the former hedge fund manager explained the connection between the token and the activities of the United States Federal Reserve (Fed):
“The Bitcoin story is very much tied to the Fed and we’re still in a really complicated scenario. The last few data releases have started saying ‘well geez maybe that crazy idea of a soft landing is possible’. I’m still really skeptical of the soft landing but the markets are telling you they’re believing in it and so acids are going up, I think the Fed’s gonna be able to stop raising rates.”
With this in mind, he added that:
“Wednesday’s a big deal. If it’s a horrific print you’re gonna see another sell-off and fake stick up and probably sell-off in risk assets but I think what you saw with BlackRock [NYSE: BLK], putting Aladdin into play with crypto, that’s actually unbelievably important for our space.”
Novogratz’s earlier Bitcoin predictions
Interestingly, Novogratz stated in mid-July that Bitcoin would undoubtedly reach $500,000 in the next five years or so, thanks to its adoption pace and unique features such as being “tailor-made to being an anti-inflation store of value” and “easily transferable.”
Earlier, in mid-June, Novogratz had said that, in order for the crypto market to recover and Bitcoin to “trade well” by the fourth quarter, the Fed would need to “take its foot off the brake” and back down, as Finbold reported.
As things stand, Bitcoin is currently trading at $23,810, which is a 1.36% loss on the day, but nevertheless a gain of 4.31% across the previous seven days, according to CoinMarketCap data.
Featured image via Bloomberg’s YouTube (screenshot).
Watch the full interview below:
