Despite the massive correction that saw Bitcoin (BTC) shred more than 20% of its value a few days back, famous Bitcoin proponent Mike Novogratz is confident that the cryptocurrency will reach $100,000 by year-end.
The founder and CEO of Galaxy Digital told Bloomberg today that the largest cryptocurrency would only consolidate within the $50,000 price range for a while and make a major recovery toward $100k.
“[…] the next big leg is up to US$100,000,” the Bitcoin bull predicted.
Institutional Investors To Push Bitcoin To $100K
Novogratz noted that he is confident about his prediction because of the increased interest in Bitcoin from institutional investors.
It is no longer news that there has been lots of institutional interest in Bitcoin since MicroStrategy announced its plans to acquire a sizable amount of BTC in August 2020.
Apparently, MicroStrategy saw BTC’s future bull run, as the investment turned out to be profitable for the firm, prompting other institutional investors, including Tesla, to join the Bitcoin party.
While the entrance of institutional clients was predicted years back by crypto enthusiasts, Novogratz said the massive institutional interests in the asset is shocking to him, adding:
“It’s not like I’m just guessing. I’m looking behind me, in front of me, and seeing all these new projects that are coming; banks that are going to issue products for their wealth management businesses.”
More Big Banks To Adopt Bitcoin
Furthermore, Novogratz predicted that the next big step for the cryptocurrency is for major financial institutions, especially Canadian banks, to join Bitcoin’s bandwagon.
His assertion is based on Canada’s friendly approach toward cryptocurrencies in recent times, which has seen the country allow Bitcoin Exchange-Traded Funds (ETF) to list on the Toronto Exchange.
Although Canada is the first country Novogratz is considering to see several financial institutions developing BTC-related products, he is optimistic that U.S. banks will follow suit almost immediately.
Novogratz is one of the few players in the industry that has been vocal about Bitcoin’s dominance over other financial instruments.
He has made several predictions about the cryptocurrency, with a handful coming to pass, including his forecast that Bitcoin will reach $20k by 2020 year-end.