Michael Novogratz: Bitcoin Is for Everyone and You Should Have 2-3% of Your Net Worth in It

Amidst the excitements of BTC hitting an all-time high, Bitcoin bull and ex-hedge fund manager Mike Novogratz said, in an interview with Yahoo Finance, that Bitcoin was designed for every investor. 

“Bitcoin is for everyone,” he said, adding that “Everyone should put 2% to 3% of their net worth in bitcoin and look at it in five years, and it’s going to be a whole lot more.”

Novogratz is also a former partner at Goldman Sachs and a former manager of Fortress Investment Group. In 2012, Novogratz’s net worth was about $500 million. In 2017, he revealed that 20% of his net worth is held in Bitcoin and Ethereum, from which he generated over $250 million in profit. 

Novogratz’s $20k Prediction Coming True? 

The Galaxy Digital boss is fond of predicting bitcoin price. Even after the March crash, when bitcoin traded at a yearly low of around $3,500, he was still bullish on the cryptocurrency. 

He predicted in April that bitcoin will hit $20,000 before the end of 2020 and that he might ditch the cryptocurrency if his prediction does not come true. 

With the cryptocurrency trading less than 7% away from the 2017 all-time-high price of $20,000, it might not be long before it hits a new ATH. 

Bitcoin Will Not Trade Below $12,000

As Bitcoin approaches a record-breaking price, some speculators believe the cryptocurrency might see a correction soon. However, Novogratz believes that the asset will not trade below $12,000 in this bullish trend. 

“Right now, we’re getting close to 20,000, like the old highs. Rarely does a market trade to the old highs and go right through it, right? It’s just markets usually touch the old highs, exhaust themselves, correct a little bit, and then take out the high. And so there’s big support around 14 and a half, 15,000. And so listen– 19,000 to 15,000 would feel pretty painful if you just bought it here at 19. I don’t think we’re going to get down below 12,000 again in this episode,” he said. 

Institutional Investors Pushing Bitcoin Price

The Bitcoin bull also mentioned that the current rally is driven by high net-worth individuals, hedge funds, and real institutions. He thinks participation by these larger players, alongside increased regulation, should smooth out some of the volatility.

Not only them but “Game of Thrones” actress Maisie Williams also jumped in when she did a Twitter poll last week asking whether she should long Bitcoin, to which Mike Novogratz replied, “Duh!”.

Bitcoin’s current rally is a lot quieter than its last one. Google searches for “Bitcoin” peaked in late 2017. They’re now running at about one-fifth of that level. But Novogratz said the evidence supporting bitcoin prices is better than it’s ever been. 

Publication date: 
11/26/2020 - 03:00

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