Michael Novogratz, the CEO of Galaxy Digital, believes that the cryptocurrency market is in a “consolidation phase,” which is preventing it from rising higher. He also made some unfavorable predictions for Solana, Ethereum (ETH), and Bitcoin (BTC).
Novogratz stated during a conference call on May 14 that since the entire cryptocurrency market has been trapped in the “consolidation phase” this quarter, a bull run for Bitcoin is unlikely to occur anytime soon.
Following the New York-based company’s Q1 financial results, Novogratz stated that Bitcoin is unlikely to cross the $75,000 threshold until the current phase is resolved. He added that the market might still be in this phase in Q3 2024.
According to a Bloomberg report, Novogratz said, “I think we’re at a consolidation phase in crypto. Bitcoin, Ethereum and everything else, Solana, will consolidate. What does that mean? It means probably somewhere between 55 and 75 until the next set of circumstances.”
Novogratz comments on the current market state, predicting it will persist until the Fed reduces rates due to a slowing economy or until after the November 2024 presidential election. He anticipates that the election will provide clarity on the crypto regulatory landscape.
Novogratz offered reassurance to investors, stating that there are no imminent concerns that would cause him to panic, suggesting a low likelihood of a flash crash in the market.
He acknowledged the influence of macroeconomic factors on market fluctuations, emphasizing Galaxy Digital’s positive performance in the first quarter of 2024, with $422 million in net income and a 50% rise in assets under management.
The Novogratz analysis tracks the market’s optimistic surge in Q1 2024, which coincides with the momentum surrounding the BTC halving and the approval of spot Bitcoin ETFs. Before the most recent corrections, Bitcoin’s price reached an all-time high of over $72,000.
Also Read: Jack Dorsey Forecasts Bitcoin Price at $1 Million by 2030
