Mike Novogratz: BTC Market ‘in Good Shape’, China Losing Influence On Crypto
According to Mike Novogratz, the CEO of Galaxy Digital, bitcoin market is in good shape, adding that that he sees “so much capital coming into the space.” He also said that China’s influence on the crypto market is diminishing.
BTC Market Is ‘in Good Shape’
Mike Novogratz, the CEO of Galaxy Digital, commented on the crypto market and the latest news of China’s total ban on cryptocurrencies Friday.
Crypto market was down for three reasons, Novegratz said. The first is China reiterating its anti-crypto and anti-freedom stance. The second is the U.S. Federal Reserve “putting taper in motion,” and the third is the big overhead resistance level for bitcoin and ether. Novogratz noted that he believes BTC and ETH will consolidate.
The market is down for three reasons: China reiterating their anti-crypto, anti-freedom stance; US Fed putting taper in motion; running into big overhead resistance on chart at 45k, 3200. The secular story is as strong as ever but a price consolidation is going to continue.
At the time of writing, bitcoin trades at $44,212 and ethereum at $3,150.
Novogratz believes that the bitcoin market is in good shape. In an interview with CNBC last week, he explained that the $40,000 level for bitcoin and $2,800 for ethereum “are very important levels for people to watch,” noting:
“As long as those hold, I think the market is in good shape.
I’ve seen nothing but engagement activity from our investing clients and our corporate clients. The level of inquiry, the level of business hasn’t been higher.
We see so much capital coming into the space, in private ways and public ways. I am not nervous.”
Commenting on China’s influence over the prices of cryptocurrencies, particularly Bitcoin and Ethereum, Novogratz pointed out:
“It was a lot more important five months ago before China basically said we’re banning crypto so miners have moved out of China.
China was never a big source of innovation in the space but it was a big source of trading and I think there’s still plenty of trading in China … The Chinese are smart, they know how to use VPNs, but it’s harder and harder and so I think it’s less and less important.”
