Mike Novogratz, CEO of digital asset investment firm Galaxy Digital Holdings (OTC: BRPHF), reflected on the lessons learned from the cryptocurrency crash this year.
What Happened: Speaking at the Bloomberg Crypto Summit, Novogratz recounted the events over the last two months that turned into a “full-fledged credit crisis” in crypto.
This resulted in “huge damage to the confidence of the [crypto] space, into the infrastructure of the space,” he said.
“It’s frustrating as heck because at times the whole industry looks like a bunch of idiots.”
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Bitcoin (CRYPTO: BTC), Ethereum (CRYPTO: ETH), and the wider crypto market saw massive drawdowns this year — the bulk of negative price action came after Luna’s (CRYPTO: LUNA) ecosystem collapsed.
Novogratz himself was a strong believer in LUNA, having gotten a tattoo of the cryptocurrency on his arm in January.
“My tattoo will be a constant reminder that venture investing requires humility,” said Novogratz at the time.
Long term, the Galaxy Digital CEO is still bullish on crypto, despite acknowledging that a majority of investors in the space were overleveraged with inadequate levels of risk management.
See Also: IS BITCOIN A GOOD INVESTMENT?
He predicted that Bitcoin would still reach a price level of $500,000 by the year 2027.
Price Action: According to data from Benzinga Pro, at press time, BTC was trading at $23,419, up 5.8% over 24 hours.
See Also: Bitcoin, Dogecoin Spike, Ethereum Fizzles Out: FOMO Behind Current Crypto Rally Or Is There More?
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