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

Samantha Chang

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.

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.

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.

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."

"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."

"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.

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