The leading cryptocurrency now trades for $23,816 following a daily increase of 7%.
Mike Novogratz, the CEO and founder of Galaxy Digital Holdings Ltd, said on Wednesday that Bitcoin might reach $30,000 by the end of the quarter, citing investors’ fear of missing out (FoMO) and the overall enthusiasm around the leading cryptocurrency.
During a recent conference hosted by Bank of America Corp., investor Michael Novogratz speculated that the cryptocurrency market may reach US$30,000 by the end of the quarter, based on price action, user enthusiasm, and the fear of missing out (FOMO).
This is not the first time the crypto enthusiast has bet heavily on bitcoin. Once, he predicted that the digital currency may reach as much as $500,000 by 2024, but he then downgraded his prediction, stating that it may not occur within five years. Novogratz partially attributed the growth rate rises to the Federal Reserve’s actions.
“He expressed doubt that the explosives market will return to its previous high levels this year, blaming Chairman Powell in particular. He is following through on his promises, and I don’t expect the Federal Reserve to reverse course and begin decreasing rates any time soon.”
As stated by ZyCrypto, bitcoin’s price has recently followed the mindset of investors who fear rising interest rates. According to statistics from CoinMarketCap, Bitcoin increased to $24,157 after the Fed boosted interest rates by 25 basis points at the beginning of the month. After falling below $21,000 on Valentine’s Day, the price is on the rise, trading at $23,901 at the time of writing.
The optimistic outlook defies the increased regulatory pressure in the United States on the cryptocurrency exchange Kraken and the stablecoin producer Paxos. According to statistics from the charting platform TradingView, the 90-day correlation between bitcoin and the Nasdaq has increased to 0.75.
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