mike novogratz bitcoin price prediction

Crypto Bull Mike Novogratz Sets $10,000 Bitcoin Price Target, Citing ‘Institutional FOMO’

Samantha Chang - Author

Oct. 11 2018, Updated 3:05 p.m. ET

Mike Novogratz, the founder of cryptocurrency investment firm Galaxy Digital Capital Management, has set a $10,000 year-end bitcoin price target, saying institutional “FOMO” (fear of missing out) will drive the market up over the coming months.

While bitcoin and other cryptocurrencies got hammered this summer, Novogratz believes the stars are lining up for a near-term rally as we enter the final three months of 2018.

Novogratz pointed to global institutions like Goldman Sachs and ICE (Intercontinental Exchange Inc.) — the owner of the New York Stock Exchange — constructing financial frameworks to facilitate the adoption of crypto as an impetus for the forthcoming rally.

Article continues below advertisement

Institutions Are Promoting Global Adoption Of Crypto

“It’s also a bull market in institutions building the infrastructure needed for real-money investors to start investing in this space,” Novogratz told CNBC (video below). “Three to six months from now, there will be an ‘all-clear’ sign for people — big institutions and pension [funds] — to start investing.”

Novogratz, an alum of Goldman Sachs and a former hedge fund manager, recently declared that bitcoin prices have bottomed and are poised to bounce back, as the Inquisitr previously reported.

The bitcoin bull believes the market hit a bottom on September 12, and said the technical chart patterns for BTC look similar to what happened right before the big rally in late-2017.

Article continues below advertisement

Novogratz said bitcoin prices must first breach key resistance levels at $6,800, $8,800, and $10,000, before it can safely move out of the current bear market, but he’s confident this is where the market is headed directionally.

Mike Novogratz also revealed that “one of the most influential endowments [in the world]” has just made an investment in a “bitcoin fund,” but he would not disclose who the institutional investor is.


However, he said this bold move will open the floodgates for other institutional investors to start pouring money into cryptocurrency funds and start-ups.

Most institutional investors copy the moves of their peers, so if one Big Dog signals that crypto is worthwhile, others will follow in a domino effect because of “institutional FOMO.”

Article continues below advertisement

CIO: It’s ‘Inevitable’ That Endowments Will Invest In Crypto

In April 2018, Ari Paul — the chief investment officer of crypto investment firm BlockTower Capital — said it wouldn’t surprise him if several super-wealthy Ivy League universities started investing in cryptocurrencies this year.

“I do think it’s inevitable from a few angles,” Paul told CNBC. “Even if they never believe in it as an asset class, they’re smart enough to recognize the alpha opportunity.”

Ari Paul, the former portfolio manager for the University of Chicago (which has a $7.8 billion endowment), said several university endowments and pension funds began researching digital currencies as investment vehicles as early as 2015.

“Endowments could pull the trigger at any moment,” Paul said. “They’re on the fence.”

Because top universities tend to copy each other, all it would take is for one major school to invest in crypto, and others will follow. Most top universities have massive endowments. Harvard has a $36 billion endowment, while Yale and Stanford University each have a $25 billion endowment.


Even a 1 percent allocation to bitcoin by Harvard would top a staggering $360 million. Imagine if all of the top 10 richest universities in the United States did the same thing.

They would become undisputed bitcoin whales that could control the market. For crypto evangelists, that is simultaneously an exciting and alarming thought.


Latest #metoo News and Updates

    © Copyright 2022 The Inquisitr. The Inquisitr is a registered trademark. All Rights Reserved. People may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.