Galaxy Digital CEO recommends investing up to 3% of one's net worth into Bitcoin

Published at: Nov. 25, 2020

With the price of Bitcoin continuing to test support around $19,000, Galaxy Digital founder and CEO Mike Novogratz recommends HODLing until 2025.

In a Yahoo Finance Live interview published on Wednesday, Novogratz said that the current Bitcoin (BTC) rally is being fueled by institutions and high-profile investors “slowly getting into the space.” He cited companies like PayPal and Square adopting crypto, as well as billionaire Stanley Druckenmiller recently suggesting the digital asset may pay out more than gold.

“Bitcoin has become a macro asset to hedge against the debasement of fiat currency both here in the U.S. and abroad,” said Novogratz. “Everyone should put 2% to 3% of their net worth in Bitcoin and look at it in five years, and it’s going to be a whole lot more.”

The CEO stated he believed that the crypto asset's volatility would remain, but found it unlikely that the price of Bitcoin would “get down below $12,000 again.” Last week, in a Twitter response to English actress Maisie Williams, he said Bitcoin would eventually hit $65,000 due to a combination of low supply and “tons of new buyers.”

In 2018, Novogratz founded Galaxy Digital, a major crypto venture capital firm. Today he is known as one of the biggest investors in crypto and blockchain. The CEO has often been bullish on the price of Bitcoin, predicting the asset would reach $20,000 by the end of the year.

At time of publication, Bitcoin is priced at $18,978, having risen more than 6% in the last week.

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