Bitcoin enthusiast, founder of Galaxy Digital Mike Novogratz believes that the market capitalization of crypto-currencies will not reach $800 billion by the end of the year — this forecast, the investor did in the past. Now he claims that the price will come to this level over the next 12 months. Novogratz said this in an interview on CNBC Africa’s Crypto Trader in the course of the cryptocurrency conference Blocks Beyond Conference, held in South Korea.
He also spoke about the difference between cryptocurrency market December 2017 and the current:
I think we too sank. I’m not happy, but I guess that’s true. However, I think we create the perfect bottom for the next surge.
According to Novogratz, he believes that the breakthrough will happen after there services for the storage of digital assets and improve the regulatory framework.
In response to questions about why he so firmly convinced of this, Novogratz explained that the company recognizes cryptocurrencies gradually. A growing number of people attending a conference on cryptocurrencies and businesses in this sector. The volume of investments in the market is increasing, including through venture funds. Novogratz does not get tired to emphasize how important reliable services in storage amount of cryptocoins. According to him, the reliability of the investors will convince such names as Goldman Sachs. On the contrary, Custody Coinbase and BitGo will not cope with this task, although they are waiting for a “successful future”.
Responding to a question about whether there is in the environment of institutional investors fear to miss the opportunity (FOMO), Novogratz noticed that while it is not, but there will come a “tipping point”. He added that the first in this sector will come advanced pension funds, followed by everyone else.
Novogratz also said that he was a big fan of the service token. As he put it, it’s much more “cool projects” in comparison with the investment tokens.
A few months ago, the investor said that we will see how the market capitalization of cryptocurrencies will reach $800 billion in December 2018. Some considered this forecast is ridiculous, because the market is already worth $800 billion. But now, when in six months the market capitalization fell to $300 billion, the forecast seems to be pretty logical.
On the background of the downturn in the market Novogratz slightly changed position: now he believes that by year-end the market value will reach $800 billion. However, according to him, it will happen in 12 months, as the market entry Depository business will lead to a surge of FOMO among traditional financial institutions.