The well-known bitcoin bull and crypto-investor billionaire Mike Novogratz warned about the volatility of the cryptocurrency market in a recent interview with Barron's and Marketwatch “Investing in Crypto”. Overall Novogratz is optimistic that Bitcoin and companies like Coinbase will flourish.
Coinbase is likely to become the world's first crypto company to reach $ 1 trillion. Other major exchanges are now preparing to go public. The second company may be Kraken. Early investors are already talking about private presale access and it looks like we might see Kraken's IPO this year.
But from Mike Novogratz's point of view, the market is full of very strange coins that tend to wash out the market.
However, the Coinbase IPO is the most important event in the crypto industry this year. This will bring market acceptance by classical investors closer and will increase the interest of large investors in the crypto market.
Pankaj Balani, CEO of Delta Exchange, points out that his short-term outlook after the Coinbase listing is much more optimistic, and he believes there is a 40% chance that Bitcoin price will hit $ 70,000 by May 2021.
Mike Novogratz is not the only person in the industry who believes that obscure coins like Doge and XRP are simply getting in the way of the market by eroding Bitcoin's liquidity. However, the market is gradually becoming completely different from what it was before Bitcoin's December bull run.
Investors of a different class come to it. They know almost nothing about early altcoins, and they are ready to consider other coins for investment, especially if they are present in the portfolios of large funds like Greyscale Capital.