Bitcoin Will Not Stay in Consolidation for Long – Mike Novogratz
Mike Novogratz, CEO of investment company Galaxy Digital, said that Bitcoin has been trading in a sideways trend lately, but the first cryptocurrency could show a strong rise at the end of the year.
Novogratz attributed the slight fluctuations in Bitcoin to corporations and other large investors focusing on accumulating altcoins. Many companies have begun issuing Treasury bonds to buy Ether, including tech company BitMine Immersion Technologies, which recently bought $200 million worth of Ether.
Over the past seven days, the Bitcoin exchange rate has fluctuated between $110,055 and $116,083. Bitcoin is currently trading at $115,000, with a market capitalization of $2.2 trillion. The founder of Galaxy Digital is confident that Bitcoin could rise sharply by the end of the year due to a number of positive factors.
First of all, Bitcoin may start a bullish rally due to a possible interest rate cut by the US Federal Reserve (US), as well as a softer attitude towards cryptocurrencies by the US Securities and Exchange Commission (SEC). Earlier, SEC Chairman Paul Atkins said that only a few tokens can be classified as securities.
Novogratz noted that the blockchain revolution used to be about using bitcoin as a store of value, then stablecoins began to be used for international payments, and now tokenization is rapidly developing. The CEO of Galaxy Digital recalled that the operator of the Nasdaq stock exchange recently asked the SEC for permission to trade tokenized securities.
Novogratz believes that despite the competition between different crypto companies, it is unlikely that one company will ever take over the entire market, as might happen in the world of traditional finance.
“Ethereum has its own community, its own history, and its own use case. Yes, it will compete with Solana and other blockchains, but there will not be one blockchain that rules the crypto space and crushes everyone,” Novogratz said.
Novogratz previously suggested that it would be difficult for new altcoins to overtake cryptocurrencies XRP and ADA, which have long secured their place in the crypto market and have a strong user base.
Source: cryptonews.net
