bmnp - Billionaire Mike Novogratz Claims Bitcoin's Price Will Reach $10,000 by April 2018

Billionaire Mike Novogratz Claims Bitcoin’s Price Will Reach $10,000 by April 2018

Michael Edward Novogratz, a New York local known as Novo, has predicted Bitcoin will explode and surpass the $10,000 mark in no more than six months. Speaking on CNBC yesterday, October 10th, he released the news that he is going to start a  $500,000,000 hedge fund in order to start investing in cryptocurrencies, ICO’s, and cryptocurrency related websites.

After leaving Fortress Investment Group after two years of straight loss, he is putting his money where his mouth is and will invest $150,000,000 of his own capital into the fund. The remaining $350,000,000 will be raised from other hedge fund managers, wealthy individuals, and network connections. He believes Bitcoin is a huge opportunity to profit land in the green.

“This is going to be the largest bubble of our lifetimes,” Novogratz exclaimed. He is reinventing himself as the king of Bitcoin after shamefully leaving his old company. “Earlier this month, Bitcoin hit an all-time high of $5,000 then fell through the floor in just fourteen days as panic sellers impulsively reacted to the (yet again) Chinese ban on trading cryptocurrencies and Initial Coin Offerings.

Novogratz calls himself a “trading junkie.” He rides the waves. “I sold at $5,000 or $4,980,” he said. “Then three weeks later I’m trying to buy it in the low $3,000’s. If you’re good at that and you’re a trading junkie, it’s a lot of fun.

Courtesy of: thejakartapost

The technology community loves the freedom of a decentralized, peer to peer, open-source payment system in which there is no middleman, financial advisors are a little more skeptical. There have been only two other hedge funds to date that have raised somewhere remotely close to this amount: Polychain Capital and MetaStable Capital. 

Novagratz’s fund will higher stakes, including market-making, arbitrage trading, stakes in Internet Coin Offerings and venture capital-like investments in the cryptocurrency niche, said someone who is familiar with his plans. This person asked not to be named because they are still private. Novogratz also brought on two experienced partners with years of experience in trading and hedge fund investing. “Richard Tavoso, the former head of global arbitrage at RBC Capital Markets and David Namdar, who worked at Millenium Partners, Marto Capital, and UBS AG, (source).”

Courtesy of: pixabay

Not everybody has the same viewpoint as Novagratz, however. JP Morgan Chase & Co CEO Jamie Dimon accused Bitcoin of being a fraud and said he would fire anyone without hesitation at his bank for trading it. Where Jamie Dimon among other individuals who see liability and volatility, Novagratz sees opportunity.

Would you trust Novagratz with your money when he took a walk of shame and left Fortress Investment Group? Let us know in the comments below!

Featured photo courtesy of: thedollarvigilante

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