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CEO of Galaxy Digital Michael Novogratz is at it again with his praise and pushing of bitcoin. In a recent interview, he said that BTC was less risky than the stock market.
Mike Novogratz Is Pushing BTC Again
As it stands, bitcoin has been going through something of a rough patch. The currency recently fell from about $12,400 to its present figure of $10,800, which is about $400 higher than where it stood just a few days ago. The good news is that bitcoin is quite close to hitting the $10,900 mark, and considering it gained more than $100 from just yesterday to today, it’s easy to assume that it will hit the $11,000 line again relatively soon.
Bitcoin is being viewed as a “safe haven” of sorts. Similar with gold, many see bitcoin as a tool to hedge one’s wealth and keep one’s money and finances protected during times of inflation and economic strife. The conditions of the country – and of the world – have been relatively unstable since the coronavirus hit in mid-March of this year, and with fiat currencies such as the US dollar falling regularly, many think of bitcoin in a more positive light.
As it turns out, the stock market has been on pins and needles over the past few weeks considering the NASDAQ recently fell as much as 800 points. Novogratz has taken note of this fall and believes that this is a dangerous time to be involved in the stock market for several reasons.
For one thing, he states that election years are always very shaky for stock shares, and with just over 30 days to go until the U.S. decides who it’s leader will be for the next four years, the ground that supports stocks is moving up and down rather quickly earthquake style. Many Wall Street players have already expressed concerns about the economy should Biden win considering they don’t label him as an money-friendly leader.
Novogratz concurred, explaining:
If Biden wins, he’s raising taxes and he’s raising capital gains tax, most specifically. The market is not going to digest that well.
Furthermore, Novogratz has said that many top-notch companies’ stock shares have already reached their highs for the year. Companies such as Apple and Tesla have reached their peaks for 2020 and are likely to fall in the coming weeks. In fact, he believes the NASDAQ could find itself trading for as much as 11 percent less than where it is today.
Some Danger for Future Stocks
He later stated:
To illustrate, if the NASDAQ fell five percent today, bitcoin would probably be lower, not higher, but I think you are going to see those correlations break down… We don’t know what’s going to happen. The level of uncertainty around the dollar and inflation has to be significantly higher than any in our lifetime sales.