Galaxy Digital’s founder and CEO, Mike Novogratz, recently signed up for a interview with Bloomberg outspoken about the future of the bitcoin (BTC) price. According to him, it is not crazy to expect that this course will sooner or later start again for an alien rally.
Bitcoin prediction
In the interview, Novogratz was reminded that he had predicted that in the past BTC would ever reach $500,000. He calmly indicated that he still stands behind this prediction. However, it will take longer before the bitcoin rate would reach this magical point than he had previously thought. This has everything to do with the macroeconomic situation, which has changed considerably.
“Not in five years and I’ll tell you why – the biggest change that happened and the reason Bitcoin fell from $69,000 to $20,000 is that Federal Reserve Chairman Jay Powell decided to superpower his central bank and curb inflation. pressure with a series of rate hikes that have taken rates from 0% to 4+%.”
According to the billionaire, this is the main reason why the crypto market has fallen so badly. At the same time, this also means that he expects the market to recover rapidly once the US central bank has finished raising interest rates, and may actually start lowering them again.
Crypto is coming back stronger than ever
Of course, a lot of large crypto companies have also gone under lately. Some examples are Three Arrows Capital, BlockFi and ftx. According to Novogratz, this has caused short-term pain, but the market will eventually recover stronger than ever before.
“The rest of that nonsense between Three Arrows and BlockFi and Celsius and all those companies that were poorly or fraudulently run certainly detracts from the general confidence in crypto. But this too shall pass. They will be swept away in the dustbin of history. And the industry itself will emerge stronger, lessons learned. And you will see that the price will rise again.”