Galaxy CEO Comments on Bitcoin Reserve

Galaxy CEO Mike Novogratz has commented on the establishment of a strategic Bitcoin reserve, calling it a “very big deal.”

Novogratz emphasizes that the U.S. having a Bitcoin reserve will “send a message” to every country.

Blockstream CEO Adam Back, cited in Satoshi Nakamoto’s whitepaper, echoed Novogratz’s sentiment on social media, calling the reserve announcement “huge” for shifting the Overton window. He suggests it provides a “new ultimate reference for sovereign wealth funds, pension funds, mutual funds to add bitcoin allocations.”

However, following the announcement, Bitcoin actually dropped, as the market was underwhelmed by the fact that the reserve would consist only of forfeited coins.

Despite this, there remains potential for purchasing more cryptocurrencies. Novogratz speculated, “My guess is they will find a way.”

It is significant to note that Novogratz previously viewed the idea of backing the U.S. dollar with other assets as “counterintuitive.”

$500,000 Price Prediction

As reported by U.Today, Novogratz predicts Bitcoin’s price might reach $500,000 if the U.S. establishes a Bitcoin reserve, potentially triggering other countries to follow.

Currently, Bitcoin trades at $85,728, failing to regain bullish momentum despite U.S. government endorsement.

Novogratz asserts that Bitcoin must reclaim $91,000 for bullish momentum to return, expressing that he is “very bullish” in the medium and long term.