Bitcoin Off To Races Near Year-End: Michael Novogratz

• Michael Novogratz, the CEO of Galaxy Digital, is still bullish on Bitcoin despite its worst month since November.
• Novogratz attributed the recent weakness in BTC to a lack of participation from large-scale buyers or institutional investors.
• He expects Bitcoin to benefit once the U.S. Federal Reserve starts to cut interest rates that he sees likely in the final quarter of this year.

Michael Novogratz Still Bullish on Bitcoin

Michael Novogratz – the Chief Executive of Galaxy Digital – is keeping optimistic on bitcoin despite its 8% loss in May, which was its worst month since late last year. He explained why this morning on CNBC’s “Squawk Box”.

Factors Contributing To Bitcoin’s Weakness

Novogratz attributed recent weaknesses in BTC to a lack of participation from large-scale buyers or institutional investors, as well as an overall market sentiment that has been bearish for some time now.

Positive Developments For Bitcoin

Novograzt also noted two recent developments that he dubbed meaningfully positive for bitcoin: WeChat enabled bitcoin and crypto trading, and Hong Kong officially allowed crypto trading for retail customers through regulated exchanges. Despite a sell-off in May, BTC is still up 65% year-to-date which makes it one of the best performing assets since the start of 2023.

Rate Cuts Will Be A Positive For Bitcoin

Novogratz also expects Bitcoin to benefit once the U.S. Federal Reserve starts to cut interest rates that he sees likely in the final quarter of this year. To that end, he said he would definitely pick BTC over a 5% guaranteed return on Treasury Bills if he had to invest $10,000 right now due to an expected slowdown in US economy later this year..

The Halving Next Year

Furthermore ahead, the total supply of Bitcoin is set to cut in half next year which has historically been a tailwind for price appreciation