Mike Novogratz, founder and CEO of crypto merchant bank Galaxy Digital, says Bitcoin will continue to grind up following the highly-anticipated halving event – but Ethereum will have to play catch-up.
In a new interview on CNBC’s Fast Money, Novogratz says he expects an increasing number of institutional investors to buy BTC after billionaire Paul Tudor Jones called the top cryptocurrency the “fastest horse” in his portfolio.
“I would expect the market to hold here at $8,000 [or] $8,500 and to start trading right back up. We’re seeing in our shop a huge increase in interest in Bitcoin, in getting into crypto from high-net-worth individuals, from funds… It feels like a herd is on its way, finally.
I’ve been waiting and waiting for the institutional side. I think this [Paul] Tudor Jones news is very big news because in some ways it takes the career risk of looking dumb out of buying Bitcoin.”
In addition, Novogratz believes that Ethereum will follow Bitcoin’s lead, but says that it will take much longer for the second-largest cryptocurrency to grow.
“The other projects, Ethereum being the most promising and second-biggest, really continue to need to develop the underlying technology so it’s used more often… As the Ethereum project grows, I think the value will go up.
But I don’t think it’s today’s news. It will get dragged along with Bitcoin but [will then] accelerate on its own, probably for a year or two until it really gets users on the platform. It will be a network effect: the more programmers, the more coders, the more businesses over time, the value will go up.”