Mike Novogratz, founder of Galaxy Digital Holdings Ltd., recently gave his views about Bitcoin’s future and the anticipated approval of Bitcoin exchange-traded funds (ETFs) in the US, providing a glimpse into what might be in store for the world of crypto.
Novogratz’s insights, shared during an interview on Bloomberg TV, come at a crucial time when the crypto market is in flux, sandwiched between mounting regulatory concerns and a growing interest from mainstream investors.
BTC On An Upward Trajectory
Mike Novogratz paints a promising future for Bitcoin in the coming months. According to his predictions, the digital currency is set to witness a price surge by the end of the year. His focus is currently on Bitcoin’s consolidation between the price brackets of $28,000 and $32,000.
An interesting element of Novogratz’s prediction is the anticipated impact of the Federal Reserve’s monetary policy. He foresees a likely upward swing in Bitcoin’s value following the conclusion of the Federal Reserve’s interest-rate hikes.
The prevalent market conditions, according to Novogratz, have been influenced by ‘supply pressure.’ So he suggests that significant profits realized by some investors are largely responsible for this situation.
This viewpoint aligns with common investment market dynamics, where notable financial gains often result in an increase in selling pressure. Novogratz points out that this trend is playing out in the current Bitcoin market.
Anticipating Bitcoin ETF Approval
Mike Novogratz’s forecast for the future of Bitcoin doesn’t stop at predicting its market value. He also envisions the potential approval of Bitcoin Exchange-Traded Funds (ETFs) within the United States. This breakthrough could fundamentally alter the crypto investment landscape.
If this approval becomes a reality, it would pave the way for industry heavyweights such as BlackRock Inc. and Invesco. These investment titans could introduce Bitcoin to a more extensive investor base, including those who previously had no access to this asset class.
In Novogratz’s view, such approval would act as a ‘seal of approval’ from the Securities and Exchange Commission (SEC) and the US government. This validation would further establish Bitcoin’s credibility as an asset.
Turning to the topic of his own firm, Galaxy Digital Holdings, Novogratz gave insights into their pursuit of a US listing. He acknowledged that the process is in progress, but admitted that the journey has been slow and ‘frustrating.’
The Toronto-listed company has plans to reincorporate in Delaware with an eye to subsequently list on Nasdaq. However, these ambitions are currently subject to an ongoing review process by the SEC.
At present, Bitcoin’s trading activity has been noticeably centered below the $31,000 mark. Specifically, the digital asset was valued at $30,521 at the time of writing. Bitcoin has experienced a slight dip of nearly 1% over the last 24 hours.
Featured image from Unsplash, Chart from TradingView