A tweet from Mike Novogratz on Thursday morning grabbed the attention of crypto investors across the world, in which he predicted that the price of cryptocurrencies had finally hit a bottom and could possibly near all-time highs again, as we come to the end of 2018.
As crypto investors woke up around the globe on Thursday morning, they were greeted with the news that many digital assets had posted significant gains. However, while most were happy with these gains by itself, some of the more optimistic analysts and speculators became convinced that this might just the catalyst that will spark crypto’s next rally.
Mike Novogratz, a former Wall Street hedge fund manager, who is now the founder and CEO of Galaxy Digital Capital Management, even went as far as to say that the cryptocurrency market has now hit its bottom.
In a tweet that set pulses racing, he said: “I think we put in a low yesterday.” This was alongside a graph from the Bloomberg Galaxy Crypto Index, that he helped to create. His tweet continued with, “retouched the highs of late last year and the point of acceleration that led to the massive rally/bubble… markets like to retrace to the breakout..we retraced the whole of the bubble.”
He finished off his tweet by calling a bottom on the market through the use of the hashtag #callingabottom.
This is the BGCI chart…I think we put in a low yesterday. retouched the highs of late last year and the point of acceleration that led to the massive rally/bubble… markets like to retrace to the breakout..we retraced the whole of the bubble. #callingabottom pic.twitter.com/EasTBYgjSj
— Michael Novogratz (@novogratz) September 13, 2018
Citing a Potential Bull Run
What Novogratz is saying in his tweet, is that he has essentially compared the current market to that of the pre-bull run of mid-2017 and that he believes another run could now start to occur. All markets like to retrace any breakouts but this is not a guarantee that similar results will occur.
As you might expect, since he posted that tweet, it has been retweeted, shared, and talked about by an array of investors, commentators, and industry influencers. Many have agreed with his forecast, while others have been a little skeptical, and some have just outright disagreed with both his prediction, as well as methods of analysis.
The whole saga also goes against the recent story in which Vitalik Buterin, the co-founder of Ethereum claimed there would be no growth increases like what we saw in 2017, again.
No matter what your opinion may be on Novogratz’s most recent claim, at the very least it is nice to hear somebody offering a positive outlook for the run into Q4. That said, it is understandable that many are not so convinced.