Early crypto investor and Galaxy Digital CEO Mike Novogratz thinks it’s likely that Bitcoin and the entire crypto market goes for an all-out parabolic run this quarter, surprising everyone on the way up.
Speaking in an interview with CNBC this week, Novogratz admits that while he’s usually bullish anyway, he still sees the digital asset markets flying high towards the end of the year as money piles in looking for gains.
“Not to sound like the ever-bullish guy that I sometimes am accused of being, but I literally see a scenario where we take out the highs in Bitcoin and we have one of these parabolic moves in all of crypto going into the fourth quarter… It’s like when you go to the Kentucky Derby, the horse that turns the corner at the end always runs the fastest. In investing, in hedge fund investing…the assets that are ahead in the fourth quarter usually have great finishes because everyone piles on and pushes the valuations higher.”
Novogratz, who bought ETH when it was a dollar, says it’s no small feat that BTC manages to maintain strength despite concerns stemming from things like China’s latest crypto ban, as well as regulatory uncertainty worldwide.
“We’ve been pushed a lot to the downside, from China, from regulation, and the market continues to hold and it’s holding because there’s just new money coming in. There was $17 billion of new venture capital that went into it in the first half of the year. It’s just a tremendous inflow of both talent and money.”
When asked about whether or not gold was going along for the ride, the billionaire said gold has been getting “quietly displaced” by the number one cryptocurrency.
“Gold is $1750 when Bitcoin got launched, and it’s $1750 today. Early in the year, I had a decent portion of my [portfolio allocation] in gold, and I finally just kind of gave up on it. I think people that were buying gold are buying Bitcoin…”