Thursday, August 29, 2019

Novogratz: Bitcoin in a ‘Bit of Consolidation’ as Institutions Line Up

Speaking to mainstream media, the Galaxy Digital founder appeared not at all concerned about Bitcoin price again falling below $10K.

Bitcoin (BTC) price may have fallen below $10,000 again but that is no reason to doubt the 2019 bull market, industry investor Mike Novogratz has said.

Novogratz: Bitcoin “has had a huge run”

Speaking on Bloomberg TV on Aug. 29, the founder of merchant bank Galaxy Digital noted that regardless of this week’s sideways trading, Bitcoin was still up over 200% this year. 

Unlike altcoin markets, the largest cryptocurrency was in separate league, and had broadly delivered for investors. 

“Bitcoin started the year at $3,800, traded at $3,500 and now it’s at $10,200 and so it’s up 200% odd percent already,” he told the network. He added:

“It has had a huge run, and so I think this is a bit of consolidation.”

Institutions “getting their ducks lined up”

Novogratz was speaking just hours before Bitcoin markets experienced a sudden dip which took them $500 lower in a matter of minutes.

While no single factor appeared to trigger a change in sentiment, the move was in line with behavior seen often in recent months. As Cointelegraph reported, margin trading is increasingly considered as a major factor behind sudden changes in BTC/USD.

As of press time Thursday, the pair was nonetheless lower still, averaging just over $9,500 on the back of 6.3% daily losses.

For Novogratz, however, increased entry of institutions into the arena will spark the next phase of Bitcoin’s bull cycle. 

“The institutions that are making longer-term decisions are making sure they’ve got custody, making sure their ducks are lined up — and they’re slowly and steadily moving in,” he continued. 

Novogratz is well known as a Bitcoin permabull. In August, he said global macroeconomic turbulence would fuel favorable price movements going forward, while a month previously, he pledged not to sell any more of his holdings below $14,000.



from Cointelegraph.com News https://ift.tt/2L33LUd

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