Galaxy’s Novogratz: Bitcoin to Stay Above $50K, Bid Farewell to Lows

By Aaron Feuerstein March 15, 2024 In Bitcoin, Cryptocurrency, ETF
  • Mike Novogratz has in the past predicted a significant influx of investment into Bitcoin from major financial institutions highlighting Bitcoin’s arrival in the financial mainstream.
  • He asserted that Bitcoin would not fall below $50k/$55k again, due to Bitcoin’s foundational monetary policy and its role as a hedge against poor fiscal policies globally.
  • Novogratz highlighted the American public’s support for Bitcoin through ETF purchases, criticising the current administration over its fiscal imprudence.

CEO of Galaxy Investment Mike Novogratz has been around the space and made a prediction or two about the future of crypto and Bitcoin—sure predictions don’t always hit the target exactly in the middle—but Novogratz has been close.

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Four months ago, his predictions centred around the dynamics of the cryptocurrency market in relation to Bitcoin ETFs. He held bullish views, saying financial intuitions pouring money into Bitcoin showed its growing acceptance and arrival in the mainstream of the finance world.

And of course, this was spot on as we now know and see the new Spot Bitcoin ETFs break records almost daily.


Buying Opportunity Begone?

In an interview with CNBC Wednesday US Time, he made the bold statement that we won’t see sub-USD50k Bitcoin anymore—a blow to anyone waiting for a correction to buy the dip.

I don’t think we go back below 50/55k. I think that’s the new floor unless something dramatic happens.

Mike Novogratz

Novogratz bases his assumption on Bitcoin’s foundational monetary policy, as outlined in Satoshi Nakamoto’s white paper, and its role in wealth preservation amidst global currency devaluations.

The CEO highlights the contrast between failing national currencies, like that of Nigeria, and Bitcoin’s performance, which has reached all-time highs in nearly every country. This phenomenon underscores Bitcoin’s value as a hedge against poor fiscal policies worldwide.

Novogratz argues that as long as countries continue to struggle with credible fiscal management, the appeal of Bitcoin will only grow, supported by its capacity to safeguard wealth.

In almost every country on earth, Bitcoin’s made an all-time high… it’s staggering how much wealth it preserves… and it’s a story that’s spreading.

Mike Novogratz

Novogratz: The American People Have Voted

The Galaxy CEO also stated that by purchasing the ETFs, the American people have shown their support for Bitcoin. Novogratz said the US Government had work to do while criticising the lack of fiscal prudence in Washington, viewing Bitcoin as a “report card” on fiscal management.

He believes that Bitcoin’s performance is a reaction to broader economic policies, including those of the Federal Reserve and Congressional spending.

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The dual factors of adoption and macroeconomic conditions, he argues, are driving Bitcoin’s value, with recent movements attributed more to increased adoption, especially through ETFs, highlighting a critical supply and demand issue.

Bitcoin has always been a report card on fiscal stewardship, and we’ve got no stewardship in DC right now… right this very moment is adoption via the ETF and therefore we have a supply and demand problem.

Mike Novogratz

Aaron Feuerstein

Aaron Feuerstein

Aaron Feuerstein is a freelance writer based in Melbourne. His focus is on decentralised finance and the regulatory space surrounding blockchain. He holds a Master's in Accounting. When he is not studying the latest legal case, he enjoys his time as a modest but eager hobby cook.

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