Mike Novogratz Reveal Why Everyone Should Invest In Bitcoin
Mike Novogratz recently revealed why everyone should invest in bitcoin. The galaxy CEO says that anyone can invest in Bitcoin, and he encouraged everyone to invest up to 2% to 3% of their total net worth to this digital asset. Mike established that those who invest in the platform would see substantive returns within the time frame of 5 years.
Although Bitcoin can be unstable, Mike is confident that the cryptocurrency cannot drop below $12,000. Mike also noted the unexpected fall in Bitcoin in March, when its value dropped to $4,000. In recent times, Bitcoin has begun to stabilize.
Factors Behind Stability In Prices Of Bitcoin
This Bitcoin bullish run, unlike in 2017, had unexpected drops; bitcoin prices have stronger institutions supporting the stability of its prices. Mike also claimed that institutional investors now in Bitcoin are the stronghold of the digital asset, driving the bull market. Mike noted that the new investors, such as real institutions and high net worth individuals, have investments in Bitcoin, turning it into the new macro asset.
Apart from the new investors, many regulatory laws have been established for Bitcoin, which will decrease its volatility in times to come. Mike also showed some concerns for the new choice of Joe Biden for Treasury secretary, Janet Yellen. The former reserve chairperson has previously shown she is not a lover of Bitcoin because she claimed it is a “speculative asset.”
Why Bitcoin investors are worried
Yellen’s return to the government has made crypto investors worry due to her previous comment. Although the Bitcoin bull CEO believes times have changed, investors are worried about Bitcoin’s fate if she finally emerges as the Treasury secretary. Mike claimed that Janet’s dovishness would help assets such as Bitcoin and even gold.
Although Janet Yellen has previously opposed blockchain technology, sources claim she might be warming up to the industry. Mike also warned investors to be careful with their investment choices because they could lose a substantial amount of money with the wrong decisions. He advised investors to know what they are doing and invest only a little part of their whole net worth to lessen the loss if it eventually occurs.
Early 2020, Mike predicted that Bitcoin and gold would continue to rise in prices due to the liquidity pump. He also took a bold step of investing around 20% of his net worth in Bitcoin, which he revealed. He compared the investors of Bitcoin and gold and noted that due to the stability in the prices of gold, more investors buy gold easily. Mike explained that he preferred investing in Bitcoin to gold.
People have also acknowledged other factors that are helping the stability of Bitcoin prices. The CEO of Luno Exchange is confident that one of the factors behind the Bitcoin bull-run is the increased retail volumes on their platform. Marcus Swanepoel shared this information on his Twitter page recently. It is also safe to note that around the Swanepoel tweeted that, Bitcoin dropped from $19,350 to around $17,000.