Mike Novogratz of Galaxy Digital does not lose faith in cryptocurrencies. Galaxy Digital CEO Mike Novogratz expressed his expectation for a rise in Bitcoin (BTC) by participating in CNBC’s “Squawk Box” program. The famous name, who stated that he was bullish in BTC, stated that he still sees and loves cryptocurrencies as an important asset despite the recent stagnation in the market.
The former hedge fund manager thinks there is a bearish outlook for the US dollar due to the US’s rising budget deficit. Novogratz also said that he has “great gold position”.
Open Reached $ 3 Million
The United States Treasury Department announced last Friday that the country’s deficit exceeded $ 3 million for the first time in history. The budget is estimated to reach $ 3.3 million by the end of the year. The government had to aggressively increase spending in order to stimulate the economy amid another recession.
The last time the US recorded a budget surplus – when government tax revenue exceeded its spending – was in the 2000s. In fact, it has only been five years since the government recorded a budget surplus since 1969.
In the words of Novogratz, when money starts growing in trees, investors like Paul Tudor Jones are starting to turn to cryptocurrencies with limited supply to hedge against inflation. While Bitcoin’s rally in August was partially tied to the weakening US Dollar Index (DXY), the most recent pause also coincided with the temporary revival of the dollar.
Bitcoin (BTC) was trading at $ 10,729 at the time of writing. According to the transaction at $ 10,400 in the morning, BTC is currently on the rise. Bitcoin seems to be continuing its rise after a notable breakout on the daily chart. The digital asset has remained stable over the past week and a half after a big drop on September 3. Bitcoin price has fallen below $ 10k several times, but the bulls have managed to maintain a significant support level and now sees a bounce towards $ 11k again.