$500,000 Bitcoin No Longer Possible, Galaxy Digital CEO Says As He Walks Back
Bitcoin seems to have reached a point where even its biggest and most bullish admirers and investors are slowly losing hope in cryptoassets altogether.
In fact, no less than well-known crypto-lawyer and Galaxy Digital CEO Mike Novogratz, who said back in March 2022 that the maiden cryptocurrency will reach $500,000 by 2027scaled back their predictions due to the poor performance of BTC.
During his recent interview, Novogratz apparently blamed the interest rate increases which was implemented by the US central bank in a desperate but aggressive attempt to contain the rate of inflation in the country.
The CEO also cited the collapse of the FTX exchange platform, lenders Celsius Network and BlockFi and Three Arrows Capital hedge fund as key contributing factors to the broader market’s downward trajectory as it damaged people’s confidence in the digital asset class.
A tall order for Bitcoin
Many analysts and experts were skeptical of the Galaxy Digital top honcho’s forecast for Bitcoin, as it meant the asset would have to grow in meteoric proportions to reach the $500K level.
During the time Novogratz made his statement, BTC needed to increase its value by a dozen times to trade for half a billion dollars.
By doing so, the cryptocurrency will then push its market cap to $9.2 trillion – 10 times the current combined valuation of the entire crypto market.
Galaxy Digital CEO Mike Novogratz. Image: Forbes.
The closest Bitcoin has even come was when it recorded its current all-time high of just over $69,000 back in November 2021.
During that time, its market cap surpassed the $1 trillion mark. Still, BTC is still several steps away from the level Novogratz was so sure it would be five years from now.
All things considered, the crypto advocate maintained that Bitcoin will still reach $500,000 but no longer within five years.
A quick look at Bitcoin’s current performance
According to tracking from Coingeckoat the time of writing, BTC is changing hands at $17,017, after losing more than 70% of its value at the same time last year.
It remains the largest cryptocurrency by market capitalization, but its total value is currently at $327.04 billion.
It will most likely end 2023 with a value that is significantly lower than what it started this year with. Some analysts say that Bitcoin’s rise will come between next year and 2024, although the rise will likely peak at $24K.
Crypto total market cap at $810 billion on the daily chart | Featured image from Common Cents Mom, Chart: TradingView.com
