- Mike Novogratz, CEO of Galaxy Digital, says he is not nervous about the dip
- He acknowledged the steep drop and said he recognized a “buy-the-dip” opportunity
Mike Novogratz Says the Pullback is Not Worrying
Bitcoin veteran and long-time investor Mike Novogratz assuaged crypto participants’ fears about the recent selloff in the crypto market.
In an interview with CNBC aired on Tuesday, Mr. Novogratz praised the “amazing run” that has occurred in the digital asset field this year, and this quarter, in particular. He went on to say that he remains strongly bullish and his clients are confident the rally will resume.
Mike Novogratz, the founder of crypto-focused investment firm Galaxy Digital Holdings, explained that the recent slump in bitcoin’s price was more of a healthy correction. According to Mr. Novogratz, after bitcoin gained about 80% in less than two months in the rally that started late July, a pullback was to be expected.
“I think the market got itself a little too long – the China news scared people,” he said. Furthermore, he proceeded to mention how US regulatory pressures have cast a shadow over the nascent digital asset space. “I think there was a lot of nervousness in the market,” he noted.
Bitcoin in Good Shape Above $40,000, Says Novogratz
Mike Novogratz told CNBC he saw bitcoin moving up in the short term if its price remained stable above the $40,000 mark. He also pointed to institutional support that has been pouring into bitcoin as a sign the crypto space remained hot.
“I see nothing but engagement and activity from our investing clients and our corporate clients,” Mr. Novogratz highlighted. “We see so much capital coming into this space in private ways and in public ways.”
The bitcoin bull mentioned he was not nervous about the current decline. While acknowledging Monday “was an ugly day”, he thinks this is a “buy the dip” opportunity.
Novogratz Defines Bitcoin’s Value
The same interview with Mike Novogratz continues on Squawk Box’s Twitter page. In the second part, Mr. Novogratz argues what gives bitcoin value as he counters the argument the original coin did not have intrinsic value.
He also addresses Ray Dalio’s recent comments that governments could “kill” bitcoin if they wanted to.
“We can get into philosophical debates about what value is. A Matisse painting can run $100M because a small amount of people decides they’re worth $100M. Over 150M people around the world have decided bitcoin is worth something. That’s enough for me.”