Mike Novogratz has a bad crypto warning

Mike Novogratz, CEO of crypto giant Galaxy Digital, expects crypto to get off to a bumpy start in 2022:

The cryptocurrency has come up a lot from the heights. It is difficult to act.

In a recent interview with CNBC, he said the cryptocurrency could “go sideways” or “fall”, ruling out a bullish scenario.

He stated that the ongoing stock market correction could provide a key to the cryptocurrency. He pointed out that the price charts of Apple, Tesla, Nvidia, which dominate the US stock market, are now broken from a technical point of view. As a result, he expects stocks to perform worse than December and have a less impressive start to January.

Novogratz also points to the irreplaceable token mania as a sign of the market freezing over.

In addition, many have to pay taxes or cash in profits to buy real estate, the crypto billionaire said:

You see some indigestion. It’s likely good for your health. With prolonged absence, pain occurs.

Medium-term outlook from Novogratz

The crypto mogul said he was not worried about the state of the crypto market in the medium term as he kept seeing people ready to enter the room.

Novogratz has reiterated that the bulls are likely to keep key support at $ 42,000.

He referred to NYDIG’s previously announced massive $ 1 billion funding round to give his perspective on the money flowing into the industry.

According to Novogratz, Bitcoin hasn’t moved from being an institutional asset to an intuitive asset class this year.

A great year for decentralized finance

While investors haven’t shown much love for decentralized financial projects in 2021, Novogratz expects things to change in the next year.

The head of Galaxy Digital says DeFi is likely to have the upper hand in 2022.

Novogratz also attributes the sector’s underperformance to “know your customer” issues, which he believes can be fixed.