Chapter cryptocurrency Bank Galaxy Digital Mike Novogratz (Mike Novogratz) give new forecast on the future of bitcoin (BTC). According to the businessman, in 2019, the currency will break its record and rise in value to $20,000.
The cause of the rise of the course will be institutional investment. The interest of major financial players in the cryptocurrency industry, Novogratz explains the syndrome of loss of profits (FoMO). This condition will lead to a sharp increase of investment in digital currency in the near future. First, according to the forecast of Novogratz, to the end of the year the bitcoin needs to overcome $6800, and then the currency will have a chance to finish the year with rates from $8800 to $9000.
“By the end of the first quarter of 2019, we will see the figure of $10,000,” continues to argue the businessman. — “And then conquered top $20, 000 or even more.”
Last summer the cryptocurrency market has experienced a significant decline, which gave rise to the pessimistic mood in cryptosuite. Especially the crisis was felt on the bitcoin exchange rate is hit with almost $20,000 in December 2017 to $6437 in date. However the market decline and not hurt the cryptocurrency industry to earn reputation points over the last year. In cryptocurrency invested even prestigious universities, including Yale, Harvard, MIT and Stanford. Overall, for the year, came to the market funds from six major universities, which totaled $108 billion. Analysts believe that even such a small number of universities will result in an increase in interest and other institutional investors such as pension funds.
The novogratz and other experts say that the massive entry of institutions in the cryptocurrency sector, only a matter of time, because financial giants have a habit of repeating the actions of partners and competitors.
“It will be a case of an institutional syndrome of lost profits, as has happened previously in the retail trade”, — concluded the Novogratz.
It should be noted that the entrepreneur does not share the enthusiasm of the crypto community about the complete decentralization and, as a consequence, unregulated. He believes that the market can only get benefit from some formal methods of regulation. Legalization of the industry will push prices and will help get rid of scammers.
About the need to legalize the market recently and said the world’s largest company asset management BlackRock. Its head Larry Fink (Larry Fink) said that the company would not even attempt to create a bitcoin ETF, as long as the relevant markets are outside the legal field.
“In the end this should be supported by the state,” commented Fink. “I am convinced that no government will allow it, until they have no idea where this money goes”.
However, the mood of the individual financial players do not confuse Novogratz, and he is confident that the creation of new financial institutions such as Goldman Sachs and ICE is an incentive for the future rally. Recall that in September the businessman also gave positive forecasts for growth of the cryptocurrency market. Then he backed up his words with a graph tracking the dynamics of the market capitalization of cryptocurrencies, which saw low, according to the analyst prior to the explosive growth of prices.