The millionaire investors and hedge fund manager, Michael Novogratz, says that the cryptocurrency market will reach $20 trillion dollars’ market capitalization. He commented in this way while talking with Erik Schartzker at the Bloomberg Invest Summit in New York.
Cryptos to Reach $20 Trillion Dollars
During the interview he was talking about how the virtual currency market works and how it will be developing during the future.
During December 2017 and January 2018, Bitcoin and most cryptocurrencies had an important bull run, reaching new all time highs. Since then, the market is operating negatively. Novogratz said that the cryptocurrency market will rebound from the correction from mind-2018, and the market will register new records.
Moreover, he said that the market capitalization of cryptocurrencies could reach $20 trillion market valuation. In the past, cryptocurrencies reached a market valuation of around $900 billion dollars and was very near to reach $1 trillion.
Michael Novogratz commented:
“[Cryptocurrency] is a global revolution. The internet bubble was only a US thing. It was a rich US people participating. [Cryptocurrency] is global. There are kids in Bangladesh buying coins. It is monstrous in Tokyo, in South Korea, in China, in India, and in Russia. We’ve got a global market and a global mania. This will feel like a bubble when we’re at $20 trillion.”
But it does not mean that the path towards a $20 trillion market is an easy task. Novogratz says that institutional investors have not yet placed their funds in the market and that the bull run has been triggered by retail investors or individual traders.
“It won’t go there ($20 trillion) right away. What is going to happen is, one of these intrepid pension funds, somebody who is a market leader, is going to say, you know what? We’ve got custody, Goldman Sachs involved, Bloomberg has an index I can track my performance against, and they’re going to buy. And all of the sudden, the second guy buys. The same FOMO that you saw in retail [will be demonstrated by institutional investors],” he stated