Chris J Terry, a crypto market analyst, has recently predicted that Bitcoin’s (BTC) price could either remain stagnant or decline until the $25 billion liquidation of GBTC is finalized.
Mike Novogratz, the founder of Galaxy Digital, holds a different view. He argues that despite the anticipated GBTC sell-offs, most investors will shift their focus to alternative ETFs, leading to a rise in Bitcoin prices within six months.
Analyst Warns of Bitcoin Price Dip
BTCdata’s Chief Architect, Chris J Terry, recently took to X to predict that Bitcoin prices will likely remain stable or fall until the completion of the $25 billion liquidation of Grayscale Bitcoin Trust (GBTC).
Terry pointed to Grayscale’s decision to maintain a 1.5% ETF fee rate as a strategic mistake that could go down in cryptocurrency history.
I disagree with this. While I think people will sell GBTC, I think most will switch into other ETFs – $BTCO being my favorite !!
Let’s not miss the forest through the trees. It’s now gonna be far easier for boomers to buy corn. And you can get 4×5 times leverage on this… https://t.co/ZJhumt3tzx
— Mike Novogratz (@novogratz) January 21, 2024
Terry’s perspective is rooted in the expectation of significant sell-offs as part of the GBTC liquidation process, which he believes will exert downward pressure on Bitcoin prices. He foresees $25 billion worth of sell-offs in the coming weeks, leading to a challenging period for Bitcoin investors.
Mike Novogratz disagrees with Terry’s assessment. He argues that while some may sell off GBTC, the majority will likely transition their investments to other ETFs. He encourages observers to look beyond the individual ‘trees’ and consider the entire ‘forest,’ suggesting that the younger generation’s ease of access to ETFs, with the ability to leverage up to four times, will contribute to Bitcoin’s resurgence within six months.
Novogratz Forecasts Bright Future for Bitcoin
On January 11, 2024, Novogratz shared his insights on CNBC’s “Squawk Box,” where he emphasized the long-term potential of Bitcoin and the evolving landscape of cryptocurrency ETFs. Drawing from his experience with the CI Group in Canada, he predicted that two or three dominant spot Bitcoin ETFs would emerge, with tracking errors crucial in determining market leaders.
Novogratz highlighted the positive impact of new ETFs on making Bitcoin more accessible to the average investor, eliminating the need for extensive technical knowledge. He expressed optimism for newcomers to benefit from Bitcoin’s growth potential, emphasizing the cryptocurrency’s limited supply and the steadfast conviction of its holders.
Considering potential competition among major players like Invesco, Fidelity, and BlackRock, Novogratz stressed the importance of low tracking errors and fees for consumers and institutions. He foresees a substantial increase in Bitcoin’s price due to the introduction of spot ETFs, as demand is expected to rise, especially among long-term BTC holders who are less inclined to sell.
The post Mike Novogratz Foresees Bitcoin Price Rebound Through GBTC Alternatives appeared first on CryptoPotato.