Galaxy’s Novogratz predicts Bitcoin reaching $70k with ETF approval

Galaxy Digital founder Mike Novogratz believes the market will see a ‘pretty successful shift of psychology’ when the government allows spot Bitcoin ETFs.

Bitcoin (BTC) is poised to reach its old highs a year from now, should the U.S. Securities and Exchange Commission (SEC) give the go-ahead to spot Bitcoin exchange-traded funds (ETFs), predicts Galaxy Digital Holdings Ltd. founder Mike Novogratz.

In an interview with Bloomberg on Nov. 29, 2023, the founder and chief executive officer of Galaxy expressed his strong optimism about the cryptocurrency’s future as talks of spot Bitcoin ETFs heat up.

“Could we go to old highs by this time next year? Of course.”

Mike Novogratz

According to the Bitcoin bull, prices are set on the margin, suggesting that the largest cryptocurrency by market capitalization is backed by “new money.” Novogratz also added the market will see a “pretty successful shift of psychology when the government says you are allowed to buy Bitcoin.”

Bloomberg’s analysts forecast the SEC will approve a spot Bitcoin ETF by Jan. 10, 2024. However, SEC Chair Gary Gensler remains mainly silent on the ETFs talk. Moreover, analysts don’t rule out the possibility that Gensler might eventually reject all pending spot Bitcoin ETF applications at the eleventh hour, a move described as “amazingly sadistic” by Bloomberg ETF analysts.

Since Gensler’s appointment as SEC Char in 2021, the U.S. financial watchdog either delayed, denied, or pushed back all such applications, citing investor protection concerns as the primary reason. As of press time, the SEC has only given the green light to ETF applications for Bitcoin and Ethereum (ETH) futures products, maintaining that spot products lack the necessary safeguards to protect investors from market manipulation.

Bitcoin reached its all-time high in November 2021, hitting $69,146, according to data on the BitMEX crypto exchange.