Novogratz: ‘Bitcoin Is Going to Be Digital Gold’, Will ‘Grind Back Up’

Siamak Masnavi

On Wednesday (February 13th), Mike Novogratz, a former Goldman Sachs partner, as well as Founder and CEO of crypto-focused merchant bank Galaxy Digital, said that Bitcoin would become 'digital gold' and that he could easily see the Bitcoin price grind its way back up to $8,000.

His remarks came during an interview earlier today with Bloomberg Television. In this article, we highlight some of Novogratz' most interesting comments.

Are We Seeing the Start of a Recovery in Crypto?

"We had a fantastic bubble in cryptocurrencies... 2017... and the bubble popped at the end of 2017, beginning of 2018... And last year, you realized how painful popped bubbles can be. Market was down about 90-odd percent depending on what crypto you're looking at... What happened is all the retail frenzy... washed out... Now, you are in this process of handing off ownership from the people's revolution, retail, to institutions, and all the architecture that institutions need to feel comfortable with this is being put in place... You're starting to see first in the venture funds and now these hybrid funds, institutions like Yale Endowment [Yale Investments Office]... I mean David Swensen might be the most influential investor in the world investing in a fund that's based in Bitcoin... And so, where Yale goes, people follow, and... what is stopping institutions from investing in crypto is a little bit the next guy in... Over the next 6-12 months, you're going to see institutions put [in] a small amount of their assets... We've kind of hit an equilibrium in this $3,400–$3,600 zone... It feels like we're just grinding along the bottom and the next move is significantly higher."

How High Could the Bitcoin Price Go During the Rest of 2019?

"We are not gonna bubble back up... We are going to grind back up... But if you start buying, could you go to $8,000? Of course, you could... And then you see the enthusiasm pick up... In the next run-up, you're really going to separate Bitcoin from a lot of the other cryptocurrencies... I think if there is 118 elements on the periodic table, only, gold, is valuable just because it's a store of value... Bitcoin is going to be digital gold. There's going to be a place where you have soveriegn money. It's not U.S. money. It's not Chinese money. It's sovereign. And so, sovereignty costs a lot. It should cost a lot."

What Novogratz Said on February 9th

On February 9th, Novogratz tweeted that he could not figure out why large macro funds, such as those managed by billionaire Ray Dalio’s Bridgewater Associates, did not simply maintain a 1% position in Bitcoin:

Prominent crypto trader/analyst Alex Krüger made the following reply:

Novogratz then answered his own question:

 

Featured Image Credit: Photo visa Pexels.com

Hamas' Military Wing Asks Supporters for Bitcoin Donations, Again

Francisco Memoria

The Al-Qassam Brigades, the military wing of an organization designated as a terrorist group in Europe and the United States currently in control of the Gaza Strip, Hamas, have recently called on supporters for Bitcoin donations.

According to the Israel National News, the group has asked for cryptocurrency donations through a special page on its website that asked supporters for BTC to “Support the Resistance,” in a campaign that sees it state there’s a duty to “support jihad because Jerusalem is an integral part of the Islamic faith.”

This is notably not the first time the group asks its supporters for donations in the flagship cryptocurrency. Back in January, CryptoGlobe reported that a Hamas spokesperson, Abu Obeida, asked supporters for BTC via Instagram, in a post that read:

The Zionist enemy fights the Palestinian resistance by trying to cut aid to the resistance by all means, but lovers of resistance around the world fight these Zionist attempts and seek all possible means to aid the resistance.

The group has reportedly been looking to raise funds via cryptocurrency as it has faced financial woes in the last few years, as banks throughout the world have been distancing themselves from the organization. Hamas’ representative blamed Israel for its current situation earlier this year.

Hamas Tried To Raise Funds Through Coinbase

As reported, Israel-based blockchain intelligence startup Whitestream tracked down two bitcoin donations the cash-strapped group received after the January plea. Per Whitestream, Hamas’ address showed the group was using Coinbase, and received “two relatively small bitcoin donations” amounting to “only $2,500.”

These are said to have come from a bitcoin trader in Khan Yunes, a small town located in the Gaza Strip. Hamas, at the time, published two bitcoin addresses to receive funds, and the Israeli-based firm believes it had to do so after Coinbase blocked the first one.

Notably, the group’s military wing is asking for donations shortly after a Gaza rocket hit a home in central Israel, according to the BBC.