Novogratz: With Capital Inflow from Institutional Investors, Bitcoin Could Rally to $8,000

Mike Novogratz said that the custody solutions for crypto products will soon set the stage for institutional investors in an interview with Bloomberg on February 13, 2019.

The former hedge fund manager of Goldman Sachs Group Inc. and the founder of Galaxy Digital Holdings Ltd. told Bloomberg that institutional investors should inject money into the crypto market next year.

“All the architecture that institutions need to feel comfortable with this is being put in place,” said Novogratz.

Novogratz mentioned that once custody solutions provided by large financial institutions such as Fidelity are available, institutions could begin to invest in crypto assets. This will be a gradual process, as many investors will want to see how the market trades before fully positioning. However, according to Novogratz, institutional investors will begin to allocate a specific minimum amount of capital to crypto assets over the next six to 12 months.

While as one of the most influential supporters of bitcoin from Wall Street, Novogratz has always been outspoken with regard to his optimism in the market, and especially so with Bitcoin. Recently claiming once again that bitcoin is the "digital gold."

It came as no surprise that Novogratz mentioned he believes fund inflows from institutional investors will spark a rally and push Bitcoin to $8,000during the interview.

According to Bitpush, as of 5:20 pm ET, the spot price of Bitcoin is $3,623.42, fell by 0.77% over the past 24 hours, but up by 6.18% over the past week.

Image source: Pixabay
Author: Nicole Wei
Disclosure: I don't hold any bitcoin and other cryptocurrencies.

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