The crypto market is finally showing something again signs of life after a seemingly endless decline. However, that does not mean that it will be a straight line from now on, according to Galaxy Digital CEO and billionaire Mike Novogratz. He doesn’t believe in all bullish scenarios that are popular right now and wouldn’t mind at all if bitcoin (BTC) lingers between $20,000 and $30,000 for a while.
The ‘comfort zone’ for bitcoin
Novogratz recently stated this in a interview with Bloomberg. When asked to make a prediction about the price of bitcoin before the end of this year, he gave a scenario that does not match the euphoria that has struck many bitcoin investors again at the moment.
“Will Bitcoin break through $30,000 during this move up? We will see. I have my doubts. I think we will probably be in this range now. Frankly, I’d 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.”
Correlation with the Fed
That bitcoin is not yet getting ready for a huge rally according to Novogratz has everything to do with the fact that the price of bitcoin very closely correlated with the policy of the US central bank.
“The Bitcoin story is strongly tied to the Fed and we are still in a very complicated scenario. The last few data releases have started to say ‘well gosh maybe that crazy idea of a soft landing is possible’. I’m still very skeptical about the soft landing but the markets are telling you they believe in it and so the acids are going up, I think the Fed will be able to stop raising rates.”
New figures will be announced on Wednesday. According to Novogratz, these figures will be of great importance for the near future of the bitcoin price. If they disappoint, there is a good chance that another one sell off comes before risky assets such as bitcoin, Novogratz said.
