© Reuters. Galaxy Digital’s Mike Novogratz explains why Bitcoin price will keep going higher
In a Friday discussion at the Investor Day in New York, Mike Novogratz, CEO of Galaxy Digital, shared insights on why he thinks Bitcoin is likely to continue trending higher.
Highlighting concerns over government spending and borrowing, Novogratz sees Bitcoin as benefiting from the US’s fiscal indiscipline.
“What’s the macro story for bitcoin?” said Novogratz. “It’s relatively simple. Our government can’t keep its pants on and stop spending money. That went from a problem in the early 2000s to a crisis with Donald Trump and Joe Biden. They go down as the two presidents who destroyed our fiscal stability.”
With national debt surpassing $34 trillion and the government’s spending reaching 25% of GDP, the cryptocurrency, according to Novogratz, stands as a safe haven against potential inflation and debt debasement.
This viewpoint aligns with growing investor interest in Bitcoin as a hedge against fiscal uncertainty.
Novogratz, a long-time Bitcoin enthusiast since its early days, also noted the spike in government expenditure during the Trump and Biden administrations, emphasizing the normalization of structural deficits.
“Until you see a government, both Dems and Republicans, that says ‘enough,’ bitcoin’s going to keep going higher,” Novogratz said.
Bitcoin fell 3% in the past 24 hours and was sitting just above the $63,500 level at the time of writing.