Mike Novogratz already knows that the value of Bitcoin will return through GBTC options

Crypto market analyst Chris J. Terry recently predicted that the price of Bitcoin (BTC) may remain stagnant or decline until the $25 billion GBTC liquidation ends.

Galaxy Digital founder Mike Novogratz takes a different view. Despite the expected sell-off of GBTC, he argued that most investors would turn their attention to alternative ETFs, which would lead to an increase in the price of Bitcoin over the next six months.

Analyst warns about Bitcoin price decline

BTCData's chief architect, Chris J. Terry, recently took to X to say that until the liquidation of the $25 billion Grayscale Bitcoin Trust (GBTC) is completed, the price of Bitcoin will remain stable or fall.

Terry pointed out that Grayscale's decision to cap the 1.5% ETF fee rate could go down in crypto history as a systematic error.

I disagree with this. While I think people will sell GBTC, I think most will switch to other ETFs – $BTCO is my favorite!!

Don't miss the forest through the trees. Boomers buying corn will be much easier now. And you can get 4×5 time benefit on this…

— Mike Novogratz (@novogratz) January 21, 2024

Terry's view is that he expects a significant selloff as part of the GBTC liquidation process, which he believes will put downward pressure on Bitcoin prices. In the coming weeks, it foresees a sale price of 25 billion dollars, which makes it a challenging time for Bitcoin investors.

Mike Novogratz disagrees with Terry's assessment. While some may sell GBTC, many argue that they may shift their investments to other ETFs. He encourages observers to look beyond the individual ‘trees' and consider the whole ‘forest', which the young generation's ease of access to ETFs, with the ability to use up to four times, will contribute to the resurgence of Bitcoin in six months.

Novogratz predicts a bright future for Bitcoin

In the year On January 11, 2024, Novogratz shared his insights on CNBC's “Squawk Box,” where he emphasized the long-term potential of Bitcoin and the growth aspect of cryptocurrency ETFs. Based on his experience with the CI Group in Canada, he predicted that two or three major areas of Bitcoin ETFs would emerge, tracking critical errors in determining market leaders.

Novogratz highlighted the positive impact of new ETFs in making Bitcoin accessible to average investors by removing the need for extensive technical knowledge. Emphasizing the limited supply of the cryptocurrency and the steadfast faith of its owners, he expressed hope that newcomers would benefit from Bitcoin's growth potential.

Given the potential competition between major players such as Invesco, Fidelity and BlackRock, Novogratz emphasized the importance of low tracking errors and fees for consumers and institutions. He foresees a significant increase in the price of Bitcoin due to the introduction of spot ETFs, as demand is expected to increase, especially if long-term BTC holders are unwilling to sell.