Hedge fund legend Mike Novogratz used last weekend’s bitcoin price decline for being an opportunity to deepen his BTC position by $15 million to $20 million.
Speaking along the Reuters Global Investment 2019 Outlook Summit Novogratz — a billionaire macro trader and former principal at Fortress Investment Group — explained this individual sees the current bitcoin price decline being a buying opportunity, an excellent cause for concern.
After peaking above $7,700 on November 8, the bitcoin price crashed as a direct consequence of the indefinite suspension of bitcoin scaling proposal SegWit2x, that’s scheduled to activate today. The global average bitcoin price tumbled approximately $2,200, eventually reaching a November low of $5,519 on November 12, depending on CoinMarketcap.
This unexpected bearish turn left many investors panicking, but Novogratz claims that he bought between $15 million and $20 million worth of bitcoin during the dip. Rapidly weekend pullback, he believes the bitcoin price will reach $10,000 by March about the heels of increased attention from institutional investors. He said the herd will arrive when a mainstream firm begins offering crypto assets as investment options.
“When it’s that straightforward, the price of bitcoin or ethereum could go more expensive. And that is a lot closer than people think,” he stated, adding it can easily happen yearly six months.
Novogratz recently announced the roll-out of Galaxy Investment Partners, a blockchain-focused hedge fund whose largest single position is bitcoin. He has invested approximately $100 million of some capital while in the fund, and that he intends to raise $500 million, that make Galaxy the biggest fund available.
March is still four months away — your entire life in the crypto economy — the item remains to be seen whether Novogratz’s price target could be realized. However, his bullish bet has already been paying off. The bitcoin price has now recovered by well over $1,000 since Sunday. Dependant on when he placed his buy orders, the worth of his weekend purchases can have already increased by several million dollars.