Source: Caixin.
①Novogratz said that bitcoin may break through $100,000 by the end of the year; ②he said that political resistance is decreasing, which is a positive factor for cryptos. ③In the long run, it doesn't matter who becomes president because cryptos have support from both parties.
Michael Novogratz, billionaire cryptocurrency investor and founder of Galaxy Digital, recently stated that with the increasingly positive political environment towards digital assets in the United States, Bitcoin could reach a record-breaking $100,000 or even higher by the end of this year.
In an interview, he said, "If the price of Bitcoin rises to $73,000 or higher in the next week or so, it will rise to $100,000 or higher by the end of this year." Since reaching its historical high of $73,798 in March this year, Bitcoin has not yet returned to this level.
In recent days, as the market's expectations of a rate cut by the US Federal Reserve this year have increased, the price of Bitcoin has risen and broken through $71,000, achieving a "five consecutive rise" and the longest consecutive rise in three months for the world's largest digital asset. Analysts believe that the relaxation of the financial environment may help speculative assets like cryptocurrencies.
Tom Couture, the VP of Digital Asset Strategy at Fundstrat Global Advisors, said in a report that cryptocurrency assets have responded positively to the prospect of lower interest rates.
Regarding the future skyrocketing of Bitcoin, Novogratz pointed out that the two catalysts he has been waiting for are coming: "friendly" political environment and the Fed's rate cut.
He further explained that in the past few weeks, the government's attitude towards cryptocurrencies has become more positive: the US Securities and Exchange Commission (SEC) took a step towards approving the Ethereum ETF for spot trading; the Wisconsin Retirement Fund purchased Bitcoin-related assets worth $163 million in the first quarter, indicating that even institutions and retirement funds are accepting digital assets.
In addition, data shows that Trump is currently leading in opinion polls by a slight margin over incumbent President Biden, and Trump has long been a supporter of cryptocurrencies.
But Novogratz believes that in the long run, who becomes president is not that important, because the rhetoric supporting cryptocurrencies is becoming increasingly bipartisan.
In addition, the possibility of the 21st Century Financial Innovation and Technology Act becoming law in 2025 is increasing. The bill will establish a new regulatory framework for cryptocurrencies in the United States, which has long been called for in the industry.
"This will allow large banks to engage in the sale and trading of cryptocurrencies, thereby attracting a new round of institutional funding," he said.
Editor/Lambor