Bitcoin’s meteoric rise has sparked new speculation about price predictions, with some analysts saying that Bitcoin could be worth $1 million by 2026. But Galaxy Digital CEO Mike Novogratz says that this kind of thing would probably show that there are serious problems with the US economy, making it more of a warning than a victory for crypto fans.
Novogratz wants the economy to be stable.
In a recent interview, Novogratz said that a sudden drop in the value of a currency or financial instability would likely cause the price of Bitcoin to rise quickly. He says that even though people call Bitcoin “digital gold” and think of it as a safe place to put money in times of trouble, its rapid rise would be very bad for civil society and the economy. Novogratz says, “I’d rather have a lower Bitcoin price in a more stable United States than the opposite.” This shows the risks when fiat currency fails and investors turn to other assets for safety.
These worries have happened before. When the economy gets worse, the prices of things like Bitcoin often go up quickly. Crypto analysts like Wolf Of All Streets agree with Novogratz that a quick rise to $1 million would mean bigger problems in the system, not just success in one area.
Concerns about debt and trends in the Treasury
Novogratz also warned against the growing trend of companies using Bitcoin as a treasury asset, saying that it could lead to bubble dynamics and growth that can’t last. He said that Galaxy Digital gets a lot of requests from companies that want to add Bitcoin to their balance sheets every week. This could be a sign of market froth.
Novogratz also criticized how the US economy is being run, especially under Treasury Secretary Scott Bessent. He said that the deficit keeps growing even though people are trying to control it. He says that too much excitement about Bitcoin treasury holdings could make the market less stable.
Bitcoin price predictions of $1 million get a lot of attention, but industry leaders like Mike Novogratz want investors to think about the bigger picture. Instead of hoping for prices to go up quickly, we should focus on promoting economic stability and long-term growth for both the crypto sector and the economy as a whole.
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