Billionaire investor Mike Novogratz says Fed Chairman Jerome Powell’s nomination for a second term could be about to slow the Bitcoin and altcoin markets. Opinions and statements of the famous billionaire Cryptocoin. com we have compiled it for its readers.
“Bitcoin and altcoins will slow down if the Fed starts raising rates faster”
Mike Novogratz said on Wednesday that “the macro story has changed a bit” and that “people have been quite bearish” in cryptocurrencies. The famous billionaire makes the following assessment:
Jerome Powell is reappointed and perhaps allowed to act more like a central banker than a man seeking reappointment. And you know, inflation is coming up pretty badly in the US. So, will the Fed be able to move a little faster? we will be able to see. This slows down all assets. It slows the Nasdaq. If we have to start raising interest rates much faster than we thought, it would slow down crypto.
Meanwhile, the Fed is grappling with the strongest inflation in 31 years and has already lowered its bond-buying rate. Minutes after the latest monetary policy decision, released on Wednesday, showed officials were open to curbing easing even faster. CME Group’s FedWatch tool shows that financial markets and investors now think that the Fed may increase interest rates in May.
Bitcoin, Ethereum and other cryptocurrencies such as Dogecoin are among the many assets that have been removed by the money flood from the Fed in the past year and a half. Mike Novogratz previously predicted that Bitcoin (BTC) would reach $100,000 by the end of the year, but now he says it looks highly unlikely. However, the former hedge fund manager, who now runs crypto investment firm Galaxy Digital, says there is still a lot to be excited about in the world of digital assets:
The number of institutions Galaxy has seen entering this space is staggering. I was on the phone today with one of the world’s largest sovereign wealth funds and they have decided to start investing money going forward. I’ve had the same conversations with major pension funds in the US.