Galaxy Digital Founder Michael Novogratz Expects Bitcoin to Trade in Narrow Range for Now
Michael Novogratz, the founder of Galaxy Digital Holdings, a prominent digital-asset financial services firm, expects Bitcoin to remain in a relatively narrow trading range in the current quarter.
During a conference call following the release of Galaxy Digital’s first-quarter results, Novogratz expressed his belief that the crypto market is currently in a consolidation phase.
He mentioned that Bitcoin, Ethereum, and other cryptocurrencies like Solana are likely to consolidate as the adoption of cryptocurrencies in traditional finance continues to unfold.
Specifically, he expects Bitcoin to remain within the range of approximately $55,000 to $75,000 until specific market events or circumstances push the prices higher.
The cryptocurrency market has experienced a period of stagnation following the historic bull run observed in the last two quarters.
This surge was primarily driven by the launch of spot US Bitcoin exchange-traded funds and the Bitcoin halving event, which reduced the supply of new tokens.
However, the optimism surrounding interest rate cuts by the Federal Reserve diminished due to consistently strong economic indicators, leading to a downward trend in Bitcoin’s price.
The current base case shows 2 interest rate cuts in 2024 beginning in September.
There's currently a 10% chance of no interest rate cuts this year at all.
We're watching to see how these odds change tomorrow.
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Novogratz mentioned the tailwinds experienced in the fourth quarter of the previous year and the first quarter of this year.
“I think that is probably where we are certainly for this quarter, maybe next
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