“In a world of social media, bitcoin is social money.
Bitcoin bull Michael Novogratz says the world’s No.1 digital currency has much more leeway as it heads to its first record since 2017.
The digital currency enthusiast, who founded Galaxy Digital after leaving the traditional world of private equity investing, says enthusiasm for bitcoin has shifted from frenzied individual investors, emblematic of asset trading. three years ago, and is now supported by more institutional entrants.
The belief that the blockchain-linked currency is on more solid footing prompted Novogratz to predict that bitcoin could reach $ 55,000 or $ 60,000 by the end of 2021.
Bitcoin was trading near $ 17,817 on Wednesday morning, after changing hands above $ 18,000 for the first time since 2018 a day earlier.
Novogratz also said the rise in bitcoin was also supported by fears that the rampant printing of money by central banks and governments would raise doubts about traditional currencies and stores of value.
“People are concerned that governments that print more and more fiat will be less trustworthy,” said the co-founder of Fortress Investment Group.
Bitcoin BTCUSD price,
have gained nearly 151% so far this year, with Bitcoin BTC.1 futures,
trading on the CME group with a similar increase. By comparison, GCZ20 gold,
has gained 23% since the start of the year, while the Dow Jones Industrial Average DJIA,
has climbed 4.4% so far in 2020. The S&P 500 SPX Index,
gained around 12% and the Nasdaq Composite Index, equipped with technologies,
jumped about 33% over the same period.
Bitcoin’s bears and detractors, however, are not hard to find. On Tuesday, Ray Dalio, the founder of Bridgewater Associates, the world’s largest hedge fund, and a longtime bitcoin skeptic, on Twitter challenged supporters of the currency to explain why bitcoin is worth its attention and no is not doomed to collapse.