Bitcoin [BTC] and the cryptocurrency sector, in general, were founded for the average Joe. The goal of Satoshi Nakamoto was to provide everyone access to financial freedom. However, when institutional interest in the sector increased, things completely changed.
Mike Novogratz, CEO of Galaxy Digital, asserts in a CNBC interview on Tuesday that if Jerome Powell, chairman of the US Federal Reserve, “gives up the battle,” the price of bitcoin will “take right back off.” The bitcoin billionaire predicted that if Powell flinches, things will calm down.
Powell quotes Novogratz as saying that the central bank will need to raise rates a few more times. The CEO of Galaxy Digital foresaw October as a month of reversals.
According to his opinion, there are “massive” inequities all throughout the world. For instance, the Japanese central bank continues to try to keep interest rates at almost zero while perpetually purchasing its own government bonds. He went on to say,
“One of the big risks in the world is Japan. They just keep buying and keep buying, and keep buying.”
Japan spent a staggering 2.8 trillion yen ($19.7 billion) last week to strengthen the yen. The astounding total surpassed the earlier record, which was established in 1998.
Novogratz optimistic about Bitcoin and other cryptocurrencies
Despite the extremely pessimistic market attitude, the cryptocurrency billionaire indicated on Tuesday that he still believes in cryptocurrencies.
The Turkish Lira, the Argentinian Peso, and other fiat currencies have all experienced steep declines, according to Novogratz. The strength of the dollar relative to other fiat currencies is gauged by the U.S. dollar index, which just reached its highest level in 20 years.
According to Novogratz, the two assets that might shield investors from potential errors made by central banks are cryptocurrency and real estate.
Together with stocks, bitcoin is currently experiencing a significant upswing and reached an intraday high of $20,263 on the Bitstamp platform. At the time of writing, Bitcoin was priced at $20,1154.30 with a plunge of 0.13% over the last 24 hours.