Mike Novogratz, the billionaire investor and founder of Galaxy Digital, recently revealed insights into Bitcoin’s recent downturn and shared his outlook on the global economy during an interview with Anthony Pompliano.
As a prominent figure in the cryptocurrency space, Novogratz described Bitcoin’s recent slump as merely “a pause after a long race,” explaining the factors behind the selling pressure and offering his predictions for what lies ahead.
He explained that following Bitcoin’s surge past $100,000, market enthusiasm peaked. However, many major investors began cashing out their profits. According to Novogratz, this profit-taking was a key driver behind the price drop.
The investor highlighted that approximately $9 billion worth of sell orders emerged from both institutional players and large individual holders—often referred to as “whales”—who opted to liquidate some of their positions into cash.
Novogratz also mentioned that several investors he knows sold portions of their Bitcoin holdings to fund personal purchases like sports franchises or luxury yachts. This activity temporarily disturbed market supply and demand dynamics.
He emphasized that $60,000 serves as an important support level for Bitcoin. Confident that this point marks a bottom in price action, Novogratz revealed he has begun accumulating more Bitcoin himself recently.
On a broader scale, Novogratz pointed out significant macroeconomic signals indicating that the US dollar may be losing its dominance as the world’s reserve currency. He noted how foreign central banks are scaling back their US Treasury bond holdings—a trend suggesting movement toward an era without any single dominant reserve currency. In this context, assets with limited supply such as Bitcoin and gold stand to benefit over time.
The investor also expressed optimism about regulatory developments in America. Referencing his discussion with Senate Majority Leader Chuck Schumer, he suggested legislation establishing clearer frameworks for crypto markets is close to being enacted.
This content does not constitute financial advice.