Bitcoin bull and billionaire investor Mike Novogratz has warned about cryptocurrency market volatility in a recent interview stemming from the Barron’s and Marketwatch’s “Investing in Crypto” virtual event series. In general and over the long term, Novogratz is bullish about bitcoin and companies like Coinbase remaining prosperous.
Novogratz Warns of a Crypto Market ‘Washout’
Shares in Coinbase Global, Inc. (Nasdaq: COIN) are currently down 5% since yesterday’s opening and during the launch billionaire Mike Novogratz spoke about the San Francisco firm and the crypto-economy in general. Novogratz has been a long-time supporter of bitcoin (BTC) and other digital assets like ethereum (ETH) as well. Just recently, the crypto investment company he founded, Galaxy Digital filed an application with the U.S. Securities and Exchange Commission (SEC) to list a bitcoin exchange-traded fund.
While speaking positively about the COIN launch on Wednesday, Novogratz said the excitement would cause some crypto market volatility. “In the next week, certainly we could have some volatility because of the excitement around Coinbase,” the former Fortress executive said during his interview with Marketwatch. Despite his recent statements on CNBC and saying he is “feeling bullish [about] the crypto economy,” Novogratz envisions a shakeup.
His statements were directed at XRP and dogecoin when he said:
I’ve seen a lot of weird coins like dogecoin and even XRP have huge retail spikes, which means there’s a lot of frenzy right now. That never ends well, and so we’ll probably have a washout at one point.
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