Photo: QuoteInspector
The latest but not the least whose voice came out of Crypto Winter is Michael Novogratz of crypto merchant bank Galaxy Digital who kept telling it from his own view. Novogratz the market bottom days after Fundstrat’s Thomas Lee issued his latest bullish outlook for the price.
Just for a reminder, few days ago Lee that the “tailwinds” that had dragged down during the current Crypto Winter are easing. Specifically, Lee said that “macro factors such as a rally in risk assets plus the US dollar no longer surging are tailwinds for .”
He suggested that this means the price would rise to $10,000 to $20,000 if were to “catch up” to equities.
CRYTPO (2/2): natural question is how much implied upside to “catch up” to macro.
S&P 500+small-cap rally since 12/24 is >2 std dev.
1-std dev for is +185% gain. “Catching up” to equities implies $10k-$20k.
NOT OUR BASE CASE. Just highlighting macro tailwind.
— Thomas Lee (@fundstrat)
Novogratz’s remarks were the actual response to CEO Changpeng “CZ” Zhao, who posted a poll on Twitter asking followers whether we’re in a bull or bear market. Out of more than 32,000 votes so far, the needle is leaning toward a bear market. Novogratz disrupted the poll, pointing to a “sideways market” that has found a base and boldly predicting: “Next move higher.”
Looks pretty sideways to me. But basing. Next move higher.
— Michael Novogratz (@novogratz)
However, Novogratz didn’t actually propose when that should happen and Fundstrat’s Lee appears to be focused on the next five to six month period.
BTC Trading Volume Surpassing $11 Billion
The experts have picked a good time to call a base, with the price managing to hold $4.026,79 (at the time of writing) and posting gains of approximately 5% year-to-date. The thing to note about the recent price increase is volume, which surpassed $11 billion in recent days for the first time in nearly a year.
Last month, reflecting on the proliferation of crypto assets, many of which have attempted to vie with ()’s function as a of value, Novogratz :
“There’s 118 elements on the periodic table, and only one gold. is going to be digital gold, a place where you have sovereign money, it’s not U.S. money, it’s not Chinese money, it’s sovereign. Sovereignty costs a lot, it should.”
Novogratz then also noted that critical infrastructure for institutional investors to become comfortable with crypto is gradually falling into place — albeit temporarily slowed by the recent United States government shutdown. He explained that forthcoming custodial solutions from (NYSE) operator ICE’s Bakkt platform and investment giant ’s digital asset business indicate the institutional watershed is just getting started.
The prolonging crypto rout forced many crypto businesses out of the market. According to a recent , even Ledger SAS, the biggest producer of hardware wallets, is struggling. Eric Larchevêque, the CEO of the Paris-based startup, reveals that they have to resort to austere management to make sure that they will still be in business for ‘18 months more’.
In another one of his crypto-related tweets, which are somewhat scant in current conditions, the former Wall Street hotshot explained that there’s tons of institutional “activity under the hood,” adding that investors should “stay the course.” While Novogratz seems to be implying that lots of underlying developments aren’t public knowledge, there is a handful of recent pieces that show that institutional players are here.
Realizing having tweeted about crypto in a while. It’s a grind. Don’t think we head north for at least a few more months. Always take longer for institutions to move. Very confident they will. Tons of activity under the hood. Stay the course.
— Michael Novogratz (@novogratz)
And while traditional financial institutions like Fidelity are beginning to step into the crypto sphere, veteran industry firms such as crypto exchange and service have also introduced their own custody solutions for institutional clients.
Novogratz’s perspective is shared by established analysts such as Netherlands-based Big Four auditor KPMG, which last fall argued that institutionalization is “a necessary next step for crypto to create trust and scale.”
Big-Name Crypto Bulls
The Winklevoss brothers recently that crypto could eventually become bigger than (ironically, the social media giant is on the verge of its own stablecoin). They also claimed that , which is often called ‘digital gold’, is a better of value than gold. The same opinion was expressed by Block.One founder Brendan Blumer, who believes that will ultimately replace gold by 2040.
On top of all that, Twitter CEO Jack Dorsey recently revealed that he buys $10,000 worth of every week, using the dollar-cost averaging (DCA) investment strategy.
Published at Tue, 19 Mar 2019 09:13:56 +0000
