Mike Novogratz Explains The Reason For The Recent Drop In Bitcoin

Billionaire Mike Novogratz believes Bitcoin’s massive price drop this week is no surprise.

The value of the leading cryptocurrency fell 17% to $43,050 on Tuesday, its lowest price in almost a month. The drop in question was something some market experts expected, including Mike Novogratz, CEO of digital asset firm Galaxy Digital.

In a new interview with Bloomberg TV, the renowned CEO said that BTC has been overbought in the face of a number of fundamental factors, and that investors have been “excited” by the recent interest in the industry from companies like Visa and Amazon. Noting that crypto is not just Bitcoin bought to be protected from bad money and fiscal policy, Novogratz used the following statements:

“This has been recognized as a technology and no investor wants to miss the next internet. Crypto is the next internet. I think we got a little too excited and this drop is a bit like air escaping a balloon.”

Novogratz says that while it is difficult to predict the short-term movement of the crypto market, it is easy to see its long-term trajectory.

“Look at the 15-year or 12-year long chart of bitcoin price and consider the adoption happening around the world. Now you know you are a being. A store of value…

Stan Druckermiller said it was a value. Literally the best investor we’ve seen in 30 years. It’s an entity. There are enough organizations that say they believe in it as a store of value.”

Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, Koinfinans and the author of this content cannot be held responsible for personal investment decisions.