Mike Novograts, CEO of a crypto-investment company Galaxy Digital, predicts that Bitcoin will overcome $ 20,000 in 2019, thanks to an influx of institutional investment.
Former investment banker Goldman Sachs says that :
“The institutional FOMO (fear of losing profits) will lead to an increase in the market in the coming months, as cryptocurrency assets will be more widely accepted, and traditional players from the financial sector will turn into cryptocurrency.”
$ 8,800 – $ 9,000 at the end of 2018
“Bitcoin has to overcome 6'800 dollars, and after that we can finish the year from 8'800 to 9'000 dollars per coin ,” said Novograz in the Financial News, adding:
By the end of the first quarter of 2019, we will overcome $ 10,000. And after that we will return to the conquest of new highs – up to $ 20,000 or more.
This last summer was difficult for cryptocurrency – a bearish trend, which the market could not overcome since the beginning of the year, only worsened.
Hope for new members
But despite the recent downturn, the industry got a chance to grow after Harvard, Yale and Stanford University announced that their multi-billion dollar money would go to the cryptosphere. The Massachusetts Institute of Technology, the University of North Carolina and Dartmouth also announced similar plans. The combined reserves of six universities exceed 108 billion dollars.
Although it is reported that the participation of universities in the cryptosphere is small, analysts predict that this step will cause a chain reaction among other large institutional investors, such as pension funds.
Since Wall Street and traditional financial giants tend to replicate each other's actions, Mike Novograc and other experts say that it is only a matter of time before the herd mentality takes effect, opening up the flow to other institutional investors.
Novograz predicted :
"This will be the case of an institutional FOMO (fear of missing value), as was the case in retail."
Regulation will strengthen cryptocurrency
Although the cryptosystem is proud to be decentralized and, according to some, unregulated, Novograz has repeatedly stated that the market will really benefit from some formal regulation. A former hedge fund manager says regulation will push prices, legitimizing the scope and freeing it from scammers.
BlackRock, the world's largest asset management fund, is interested in the cryptosphere, but as CEO Larry Fink said, the company "will not run Bitcoin-ETF until the industry becomes legal."
BlackRock Won't Launch Bitcoin ETF Until Crypto Is 'Legitimate,' Says CEO Larry Fink https://t.co/OD1awOqxkN
– CCN (@CryptoCoinsNews) November 1, 2018
Despite the recent bear market, Mike Novogratts believes that the long-term outlook for crypto is new highs. The impetus for the upcoming rally is that large institutional players, such as Goldman Sachs and ICE (Intercontinental Exchange Inc.) – the owner of the New York Stock Exchange – began to build a financial framework to facilitate the adoption of cryptocurrency.
