Mike Novogratz, an influential figure in the cryptocurrency world and CEO of Galaxy Investment Partners, recently expressed skepticism about Bitcoin’s BTC/USD ability to sustain its recent surge in value. He anticipates a period of volatility ahead.
What Happened: On Tuesday, Novogratz, a staunch Bitcoin advocate, posted about the cryptocurrency’s recent monumental rise on X, formerly Twitter. He doubted the Bitcoin rally could maintain its momentum after rallying 350% to a three-year high.
On the same day, Bitcoin had soared to a new all-time high of $69,170.63, surpassing its previous peak of $68,789.63. However, the cryptocurrency subsequently experienced its sharpest daily decline since November 2022, falling by 10% in a single day.
Why It Matters: The world’s largest cryptocurrency by market capitalization was buoyed largely by the approval of Bitcoin Spot ETFs in January. Since 2024 began, Bitcoin has shot up 56.3%. Over a shorter, seven-day timeframe, it has risen nearly 15%.
After rising to its all-time high on Tuesday, Bitcoin traded 4.13% below that level at $65,985.99 at the time of writing, according to Benzinga Pro data.
Novogratz’s skepticism about the current rally follows a series of optimistic predictions he made about Bitcoin’s potential. In December, he predicted a “parabolic move” for the cryptocurrency, largely fueled by the anticipated approval of a spot Bitcoin ETF and the Federal Reserve’s role in the crypto rally.
Despite the recent volatility, many in the crypto community remain optimistic about Bitcoin’s potential to reach new heights. As Novogratz suggests, investors should brace for a period of upheaval as the market adjusts to these rapid changes.
Photo via Shutterstock
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