The market for cryptocurrencies if bitcoin (BTC) in ethereum (ETH) is in turmoil again. Almost all prices are falling fast and it looks like this could continue for a while. Well-known Wall Street and crypto billionaire Mike Novogratz of Galaxy Digital thinks we will see the next bull market this year, although that may not be until October.
Bitcoin Rises Once Fed Takes Foot Off Brake
That writes CoinDesk† Novogratz attended CoinDesk’s Consensus 2022 event live. He stated that bitcoin will not show positive prices until the Federal Reserve “blinks and takes its foot off the brake.” The CEO means that the United States central bank must first stop raising interest rates before Bitcoin can start an upward trend.
He thinks that interest rates at the US central bank (the Federal Funds Rate) could rise to as much as 5%. He does think that Bitcoin will bottom earlier than US stocks:
“My hope is that by the fourth quarter the economy has slowed enough for the Federal Reserve to pause.” [met het verhogen van de rentes]† That is when the next crypto cycle will begin. Then bitcoin breaks the [positieve] correlation with equities and will lead the market.”
So October will take a while, assuming we are still in the bull market that started in 2020. At the same time, the end of October is already 21 weeks away. The previous bear market lasted 52 weeks if you count to the absolute bottom in 2019. So we could already be half way there.
Humility by LUNA tattoo
Mike Novogratz is often the face of remarkable† He recently said that ‘two-thirds of crypto hedge funds will go bankrupt’ the next few years. According to Novogratz, there are about 1900 investment funds specifically focused on crypto.
He also spoke during the conference about his burly tattoo of Terra (LUNA). On his shoulder is a colorful wolf, which he had placed at the beginning of January. He emphasizes that in the next bull market we must resist the impulse to be greedy.
“There is a reason for this when ecosystems are rapidly increasing in value. Know where you put your money, you don’t get returns for free.”
I’m officially a Lunatic!!! Thanks @stablekwon And thank you my friends at Smith Street Tattoos. pic.twitter.com/2wfc00loDs
– Mike Novogratz (@novogratz) January 5, 2022
–
