Michael Novogratz, the billionaire founding father of crypto funding agency Galaxy Digital, expressed skepticism concerning the probability of the US establishing a Bitcoin strategic reserve, a proposal put forth by President-elect Donald Trump.
Novogratz Predicts $500,000 BTC Worth Surge
In an interview with Bloomberg Tv, Novogratz said, “I nonetheless suppose it’s a low chance,” highlighting the challenges posed by the present political panorama. Though Republicans management the Senate, Novogratz asserts that they don’t possess the supermajority required to go such vital laws.
Novogratz instructed that it will be prudent for the US to not solely retain its current Bitcoin holdings but in addition to think about buying extra, positioning the nation as a pacesetter in know-how and digital property.
“We need to present the world that we’re going to be a technology-first nation, a crypto, digital asset-first nation,” Novogratz stated, emphasizing the potential advantages of embracing cryptocurrencies.
Throughout the 2024 Nationwide Bitcoin convention in Nashvilee, Trump introduced plans to take care of all Bitcoin held by the federal government, reworking it into “a everlasting nationwide asset to learn all Individuals.”
Some advocates, reminiscent of Senator Cynthia Lummis who additionally attended the venue, have proposed that the US can purchase roughly 1 million Bitcoin, which might equate to over $90 billion at present market values.
Ought to the US set up a Bitcoin strategic reserve, Novogratz predicted a dramatic value surge for the cryptocurrency, estimating it may attain $500,000. Presently, Bitcoin has been buying and selling at round $93,000.
“If we get the Bitcoin reserve, as a man who owns a variety of Bitcoin, I gained’t cry,” he remarked, including that such a transfer would create a brand new paradigm, compelling different international locations to comply with go well with.
Trump’s Election Victory Sparks 30% Bitcoin Surge
The current presidential election victory of Trump has positively impacted the cryptocurrency market, contributing to a greater than 30% enhance in Bitcoin’s worth and pushing the general digital asset market above its pre-pandemic peak.
Trump has shifted from being a cryptocurrency skeptic throughout his first time period to changing into a vocal supporter, together with his household even launching a decentralized finance undertaking dubbed World Liberty Monetary and its native token (WLF).
Novogratz, a former accomplice at Goldman Sachs and Fortress Funding Group, has additionally seen a big enhance in his web value, which rose to roughly $5.4 billion this week, up from $1.6 billion on the finish of 2022. Notably, Galaxy Digital skilled its largest buying and selling day of the 12 months on November 6, following Trump’s electoral success.
Along with his market commentary, Novogratz took to X (previously Twitter) to criticize Senator Elizabeth Warren’s remarks concerning Trump’s announcement that billionaire Elon Musk and entrepreneur Vivek Ramaswamy would lead a brand new initiative known as the Division of Authorities Effectivity (DOGE), a reputation impressed by Musk’s affinity for the Dogecoin meme.
On the time of writing, BTC is buying and selling at $93,000, up 141% year-to-date.
Featured picture from DALL-E, chart from TradingView.com
